- FG collects N2trn revenue from VAT, CIT in Q1 2024 – NBS
The Nigerian equities staged a rebound, recouping prior session losses as the benchmark index ended 0.20 percent stronger to settle at 99,832.25 points.
Gains in Tier-1 banking names, GTCO (+2.44%), ZENITHBANK (+2.86%) and UBA (+6.24%) were the primary drivers of the broader index’s recovery, offsetting losses in ACCESSCORP (-1.55%), TRANSCORP (-2.33%) and ETI (-9.92%).
Investors were the beneficiaries as they picked N114.12 billion off the trading session on Thursday.
Having gained in two of three trading sessions, the market is on track for a week of gain. The ASI year-to-date (YTD) return rose to 33.51 percent, while market capitalization gained ₦114.12bn to close at ₦56.47trn.
Analysis of Thursday’s market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 47.72 percent. A total of 502.60m units of shares valued at ₦8.65bn were exchanged in 9,686 deals. ZENITHBANK (+2.86%) led the volume and value chart with 71.22m units traded in deals worth ₦2.52bn.
Market breadth closed positive at a 1.56-to-1 ratio with advancing issues outnumbering declining ones. NB (+10.00%) led twenty-seven (27) others on the leader’s table, while ETI (-9.92%) topped seventeen (17) others on the laggards log.
The naira depreciated by 0.2 percent to N1, 476.24/USD in the Nigerian Autonomous Foreign Exchange Market.
In the money market, the overnight lending rate expanded by 53bps to 31.2 percent in the absence of any significant funding pressure on the system.
Activities in the NTB secondary market were bullish, as the average yield contracted by 2bps to 21.9 percent. Across the curve, the average yield declined at the short (-2bps), mid (-2bps), and long (-1bp) segments following interests in the 91DTM (-3bps), 182DTM (-3bps), and 343DTM (-3bps) bills, respectively. Similarly, the average yield dipped by 8bps to 21.8% in the OMO segment.
Elsewhere, the FGN bond secondary market traded with mixed sentiments, albeit with a bearish tilt, as the average yield expanded by 1bp to 18.6 percent. Across the benchmark curve, the average yield increased slightly at the short (+1bp) end due to the sell-off of the MAR-2025 (+4bps) bond but remained unchanged at the mid and long segments.
FG collects N2trn revenue from VAT, CIT in Q1 2024 – NBS
Meanwhile, the National Bureau of Statistics said the aggregate Value Added Tax stood at N1.43 trillion in Q1 2024.
This is according to the VAT Q1 2024 Report released in Abuja on Thursday.
The report showed a growth rate of 19.21 per cent on a quarter-on-quarter basis from N1.20 trillion recorded in Q4 2023.
The report also showed that local payments recorded were N663.18 billion, while foreign VAT payments contributed N435.73 billion, while import VAT contributed N332.01 billion in Q1 2024.
On a quarter-on-quarter basis, the report showed that accommodation and food service activities recorded the highest growth rate at 59.15 per cent, followed by the activities of administrative and support at 47.79 per cent.
“On the other hand, activities of extraterritorial organisations and bodies had the lowest growth rate at –57.01 per cent, followed by human health and social work activities at –27.73 per cent.”
In terms of sectoral contributions, the report showed the top three largest shares in Q1 2024 were manufacturing at 26.72 per cent, information and communication at 17.42 per cent and mining and quarrying activities at 15.42 percent.
“On the other hand, activities of households as employers, undifferentiated goods and services-producing activities of households for own use recorded the least share at 0.01 percent.
“This was followed by activities of extraterritorial organisations and bodies at 0.03 per cent, and water supply, sewerage, waste management and remediation activities at 0.05 percent.
On a year-on-year basis, it showed that VAT collections in Q1 2024, increased by 101.65 percent from Q1 2023.