The record stock market boom in Nigeria: "Last Tuesday (August 29, 20223), the Nigerian Exchange Limited (NGX) witnessed a historic moment as its All-Share Index (ASI) reached a new all-time high of 66,490.34 points, surpassing the previous record of 66,371.20 points that was set on March 5, 2008. The ASI, which measures the performance of all listed equities on the NGX, rose by 0.51% from 66,151.38 points on Monday, reflecting the bullish sentiment that has dominated the market in recent months. This remarkable feat was not a fluke or a coincidence, but the result of a series of factors that converged over the last year to create a favourable environment for the capital market." Tekedia Mini-MBA (Sep 11 - Dec 2, 2023) opens registrations for a new edition. Cost is N90,000 or $170 if you register by Sept 5, 2023. Register here Tekedia AI in Business Masterclass opens registrations here. Join Tekedia Capital Syndicate and co-invest in Africa's finest startups here. Next cycle begins Oct 2, 2023. Wow - Nigerians are really going to the United Kingdom: "In the first half of the year, we granted approximately 132,000 visas, and those are all sorts of visas, which include visit, work and study visas. "In the previous full year before that, we issued about 324,000. The UK, in that year, issued about three million visas, and of those three million visas, 324,000 were issued to Nigerians, which is about 10 per cent." My Response: It is indeed an irony. In the season Nigerian investors recorded these new heights, most Nigerians are leaving the country. How do you reconcile a season of stock market boom with one where young people seem hopeless. As we discussed during the Investment Course, banks will break all known "profit" records due to the Naira float as they book what they "bought" at N415 to N750 per USD. And that is what is happening. Most of the profits are on currency/FX with minimal growth in lending to manufacturers. Nigeria has always been like this: somehow people will continue to make tons of money even as many struggle. Generating companies are declaring HUGE profits when DISCOS are going bankrupt or being bailed out (KD, Abuja, etc). How is that possible? You can generate 10 units of energy and be paid for it even if DISCOs can only absorb 3 to distribute to customers. So, you see record profits for GENCOs in cities with no electricity. Legendary!
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