The Nigerian Stock Exchange (NSE) has assured investors of seamless trading during the 14 days lockdown to stem the spread of coronavirus in the country.
The exchange gave the assurance in a statement issued in Lagos by Mr Olumide Orojimi, Head, Corporate Communications.
Orojimi explained that the exchange would sustain remote trading activities at normal hours and days in line with the guidance provided by the World Federation of Exchanges.
The News Agency of Nigeria (NAN) reports that the Federal Government has announced restriction of all movements in Lagos and Ogun States as well Abuja for an initial period of 14 days.
He noted that the exchange was very supportive of the steps aimed at flattening the rising curve of COVID-19 cases in Nigeria.
“Since the outbreak of this pandemic, financial markets, particularly the capital markets around the world, have seen levels of volatility that are only comparable to the global financial crisis of 2007/2008.
“To maintain the integrity of our market and in order for us to continue to stimulate economic growth, we activated our business continuity plan on March 23.
“Through this activation, we have: continued trading during normal hours and days by providing remote trading access for Dealing Member Firms.
“The ability of our financial and money markets to continue to operate during this crisis is a testament to a well-functioning economy,” he said.
Orojimi said that the Minister of Finance and the Governor of the Central Bank of Nigeria had received presidential approval to include the financial system and money markets in the list of exempted services from the lockdown.
“Given this new pronouncement, we will sustain our remote trading activities at normal hours and days, in line with the guidance provided by the World Federation of Exchanges.
“To comply with government directive, we have activated the second phase of our business continuity plan that will see our essential staff move into a secured accommodation close to our offices with adequate arrangements for healthcare and other matters necessary to their wellbeing.
“Access to our offices will be restricted to these essential staff who will ensure smooth remote trading and provide remote technical support to Dealing Members.
“We will also continue to provide remote access to listed companies and issuers during this period.
“While we hope for a quick end to this pandemic, we encourage everyone to maintain precautions, take responsibility for others by observing social distancing and practicing personal hygiene.
“Most importantly, we advise that you comply with guidelines issued by relevant health agencies of government towards curtailing the spread of the virus in our beloved country,” he said.
Meanwhile, Nigerian equities market on Monday opened trading for the week with a loss of N277 billion, amidst weak sentiments in the wake of weaker oil prices and Coronavirus pandemic.
Specifically, the All-Share Index (ASI) decreased by 530.99 points or 2.43 per cent to close at 21, 330.79 against 21, 861.78 on Friday.
Similarly, the market capitalisation, which opened at N11.383 trillion, shed N276 billion or 2.43 per cent to close at N11.116 trillion.
The downtrend was impacted by loses recorded in large and medium capitalised stocks, among which are: MTN Nigeria, Zenith Bank, Guaranty Trust Bank, International Breweries and Access Bank.
This week, analysts at Imperial Asset Managers Ltd., said: “We expect market sentiment to remain volatile, given the circumstances surrounding oil prices and macro-economy development.
“We also expect investors to react positively to healthcare quoted stocks amid the fiscal and monetary stimulus channelled to the sector in desperate move to combat the COVID-19 pandemic,” they said.
Market breadth was negative with 11 gainers against 15 losers.
MTN Nigeria led the losers’ chart in percentage terms, dropping by 10 per cent to close at N90 per share.
Wema Bank followed with a decline of 9.62 per cent to close at 47k, while International Breweries declined by 9.26 per cent to close at N4.90 per share.
Prestige Assurance and United Capital shed 8.33 per cent each to close at 55k and N2.20 per share, respectively.
Conversely, Berger Paints dominated the gainers’ chart in percentage terms, gaining 9.84 per cent to close at N6.70 per share.
Mobil followed with 9.83 per cent to close at N160.90, while Cadbury Nigeria appreciated by 9.68 per cent to close at N6.80 per share.
DN Meyer grew by 8.70 per cent to close at 50k, while Africa Prudential improved by 8.19 per cent to close at N3.70 per share.
In spite of the drop in market indices, the volume of shares traded closed upbeat as investors bought and sold 466.91 million shares worth N1.93 billion traded in 3,659 deals.
This was in contrast with 261.41 million shares valued at N3.36 billion transacted in 3,968 deals on Friday.
Transactions in the shares of DN Meyer topped the activity chart with 200.99 million shares valued at N92.46 million.
Champion Breweries followed with 89.34 million shares worth N61.67 million, while Zenith Bank traded 48.19 million shares valued at N574.35 million.
United Bank for Africa sold 19.16 million shares worth N98.79 million, while FBN Holdings accounted for 18.81 million shares valued at N75.16 million.
