Business
Demand For African Commodities Falling -ECOWAS
Commissioner for Social Affairs and Gender, Economic Community of West African States (ECOWAS), Dr Siga Jagne, has said that the demand and prices for African commodities are falling.
Jagne said this at a meeting of labour general assembly of the ECOWAS with the theme “strengthening social dialogue for the promotion of decent work in the ECOWAS region” yesterday in Abuja.
She added that by extension the demand and prices for West African commodities were affected by the fall, adding that capital flow were declining and promised of increased aid had not materialised.
According to her, the ECOWAS region has a population of approximately 391 million with a combined Gross Domestic Product (GDP) of approximately 676.1 billion dollars.
She stated that member states of ECOWAS were majorly low-income countries with gross national income per capital ranging from 3,678 dollars in Cape Verde to 452 dollars in Niger.
This, she said, led to a regional median gross national income per capital of 1,608 dollars in 2018.
According to her, these low incomes per capital figures are indicative of generalised poverty due to the limited resources to cater for the basic needs of the growing regional population on a sustainable basis.
She noted that majority of youths in the ECOWAS region did not have stable economic opportunities, noting those between the ages 15 and 24 had lower employment rate than adults by around 20 per cent.
Jagne stated that the problem was not just unemployment but underemployment, which according to her peaked at over half of youth in the labour force in the region.
“Women are also severally affected by low employment rate, as the gender gap between men and women in gainful employment continues to widen in the region.
“In addition, due to poor infrastructure, workers in rural areas are less involved in labour force participation,’’ she said.
Secretary General, Organisation of Trade Union in West Africa (OTUWA),Mr John Odoh, said that the level of social protection in the region include progress in gender mainstreaming.
He said that the commission had a lot to do to accomplish in West Africa and the rest of the world, adding that the commission should come out with proposal that would be beneficial to the region.
Odoh said that the assembly must work to ensure improved standard of living condition of the region and its workforce.
Deputy Director, International Labour Organisation (ILO), Mrs Cynthia Olajuwon, said that the region could not claim ownership of development if it was exclusively funded by others.
She stated that social dialogue must be mainstreamed into the things dragging the region backward such as unemployment, insecurity, low wage among others.
She said that some of the great things happening in Africa and West Africa showed that ECOWAS had gone far, adding that the global agenda on social dialogue had been promoted.
Olajuwon said that the African Union at the level of Head of States adopted the provision of employment as a key continental agenda.
The Central Bank of Nigeria (CBN) yesterday said 33 banks have met new minimum capital requirements under its recapitalisation programme, raising a combined N4.65 trillion to strengthen the financial system.
The apex bank disclosed this in a statement marking the end of the exercise, which commenced in March 2024 and drew participation from domestic and foreign investors.
The statement was jointly signed by the Director of Banking Supervision, Olubukola Akinwunmi, and the Acting Director of Corporate Communications, Hakama Sidi-Ali.
The statement said “Over the 24-month period, Nigerian banks raised a total of N4.65tn in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy.”
The regulator said local investors accounted for 72.55 per cent of the funds, while international investors contributed 27.45 per cent, reflecting continued confidence in the sector.
Commenting on the outcome, the CBN Governor, Olayemi Cardoso, said in the statement, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well-positioned to support economic growth and withstand domestic and external shocks.”
It added that while 33 banks have complied with the new thresholds, a few others are still undergoing regulatory and legal processes.
The statement noted, “The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme.
“A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
“All banks remain fully operational, ensuring continued access to banking services for customers.”
The apex bank stressed that the exercise was executed without disrupting banking operations, ensuring uninterrupted access to services nationwide.
It further stated that key prudential indicators have improved, particularly capital adequacy ratios, which remain above global Basel benchmarks.
The minimum ratios were set at 10 per cent for regional and national banks and 15 per cent for banks with international licences.
The bank also said the recapitalisation coincided with a gradual exit from regulatory forbearance, a move it said improved asset quality, strengthened balance sheet transparency, and enhanced overall stability.
To preserve these gains, the CBN said it has reinforced its risk-based supervision framework, mandating periodic stress tests and adequate capital buffers for banks.
It added that supervisory and prudential guidelines would be reviewed regularly to strengthen governance, risk management, and resilience across the sector.
“The successful completion of the programme establishes a stronger and more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks,” the statement said.
The Tide learnt that foreign capital inflows into Nigeria’s banking sector rose by 93.25 per cent year-on-year to $13.53bn in 2025, up from $7.00bn recorded in 2024, amid the ongoing recapitalisation drive by the Central Bank of Nigeria.
Data from the National Bureau of Statistics capital importation report showed that the banking sector remained the dominant destination for foreign capital, accounting for $13.53bn of the total $23.22bn recorded in 2025, representing 58.26 per cent of total inflows, up from 56.81 per cent in 2024.
The surge reflects heightened investor interest in Nigerian banks as they raised fresh capital to meet new regulatory thresholds introduced by the apex bank, with industry-wide recapitalisation activities driving large-scale inflows across all quarters of the year.
However, the Centre for the Promotion of Private Enterprise (CPPE) recently raised concerns over weak credit flows to small businesses despite recent banking sector reforms.
The CPPE, led by a renowned economist, Dr Muda Yusuf, acknowledged that the ongoing bank recapitalisation exercise by the CBN has strengthened the financial system, but warned that the benefits have yet to translate into meaningful support for the real economy.
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
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