Investors’ Confidence in Insurance Stocks Resurges on Recapitalisation Sentiments Sector rises from N107.484bn in five months to N112bn Goddy Egene Investors’ confidence in insurance stocks has continued to increase as some of the companies in the sector have made positive efforts to
comply with the new capital requirements for operators in the industry. The National Insurance Commission (NAICOM) had on May 20, 2019 raised the minimum paid-up capital
of insurance companies. For instance, companies that want to remain in life business will need a minimum capital of N8 billion from N2 billion; general insurance companies from N3 billion to N10 billion
while composite insurance firms’ new capital went up from N5 billion to N18 billion. Also, re-insurance companies would need N20 billion as against the current N10 billion. The insurance industry
regulator had last year announced a similar recapitalisation that was later suspended. THISDAY checks showed that five months after that announcement, most insurance
stocks have remained resilient and gaining momentum as investors increased demand for them. Consequently, the value of Continued on page 5
We Can’t be Intimidated, S’Court Tells CUPP over Atiku’s Appeal... Page 5 Tuesday 15 October, 2019 Vol 24. No 8954. Price: N250
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Oil Benchmark Lowered over Expected Crude Glut, Says Finance Minister Defence, education, police lead in sectoral proposals Crude price slumps below $60 over US, China trade deal Ejiofor Alike in Lagos and James Emejo in Abuja with agency reports The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, has said the federal government adopted a lower oil benchmark price of $57 per barrel for the 2020 budget as against the $60 per barrel in the 2019 budget because of the expected oil glut in 2020, as well as the need to cushion against unexpected price shock. Ahmed, at a budget breakdown yesterday in
Abuja, said there were strong indications of an oversupplied oil market in 2020, adding that all three of the major forecasters – including the Organisation of the Petroleum Exporting Countries (OPEC), International Energy Association (IEA) and the US Energy Information Administration (EIA) had predicted non-OPEC production growing by about two million barrels per day (mbpd) in 2019 and by more next year. Continued on page 6
Labour Braces for Strike as Talks with FG Collapse Parties to hold decisive talks today Onyebuchi Ezigbo in Abuja The threat by the organised labour to embark on a strike tomorrow gathered momentum yesterday as the meeting between the federal government and workers failed to agree on the terms for the
implementation of the N30,000 minimum wage signed into law on April 18. Following yesterday’s stalemate, both sides are expected to meet again today in what labour has described Continued on page 5
CLEAN BILL OF HEALTH… Chairman, Transcorp Plc, Mr. Tony Elumelu (left), and Vice President Yemi Osinbajo, during the presentation of Certificate of Performance discharging Transcorp Plc of post-privatisation performance obligations in respect of Transcorp Hilton Hotel, Abuja by the vice president to the company chairman in Abuja…yesterday