The Nigerian banking sector experienced a downturn on the Nigerian Exchange Limited (NGX) yesterday, fueled by controversy surrounding the exclusion of retained earnings from the Central Bank of Nigeria’s (CBN) new minimum capital requirement.
Results from trading on the NGX revealed that six banking stocks recorded price declines, contributing to a 0.1% fall in the Banking sector index. Stocks such as FBN Holdings Plc, Stanbic IBTC Holdings Plc, UBA, Sterling Holdings, FCMB Group, and Jaiz Bank all recorded decreases in their prices.
However, five banking stocks, including Access Corporation Plc, Guaranty Trust Holding Company Plc, Zenith, Fidelity Bank, and Unity Bank, saw price gains. Despite this, the NGX began April on a negative note, with investors losing N25 billion by the end of the day, leading to a marginal decline in the market capitalization of all listed equities.
Source: Vanguard