Africa’s richest man,
Alhaji Aliko Dangote has allayed concerns over the Nigerian economy brought on by declining oil revenue and political uncertainty over the elections, stating that the country is strong and will bounce back.
Speaking to The Tide source recently, the business mogul said every country faces challenges when markets go through periods of booms and busts, but there was no reason to be concerned about the Nigerian economy, as its fundamentals are strong.
He said the economy was simply passing through a temporary setback owing to low commodity prices, but expressed confidence that the country has the capacity to emerge stronger in few months time.
“As long as we manage our resources property, even with crude oil selling at $50 per barrel, Nigeria has the ability to pull through because the fundamentals are strong.
“So what we are going through should just be seen as a temporary setback”, he said.
Dangote who has seen N1.8 billion of his flagship company, Dangote Cement Plc, wiped out since falling oil prices precipitated massive losses in the Nigerian equities market and a devaluation of the Naira against green back said he had absolute confidence in the economy and would continue to invest in it as appreciable returns on investment were guaranteed in Africa’s biggest market.
In the mean time, Nigeria’s stocks rose for the eighth day recently in what Bloomberg described as the largest winning streak since July 2013 as investors brought into companies they deemed over sold following declines spurred by concerns that lower oil prices and elections may hurt the economy.
“Bargain hunters are taking advantage of the low oil  price of a number of stocks”, Ikechukwu Ineanacho, who helps manage about N6 billion ($30 million) of equities and bonds at Chapel Hill Deuham Secrities Limited, said according to a phone conversation with The Tide Correspondent.
“They have sufferedfar beyond what the fundamentals would suggest, largely on the back of oil and foreign investors coming out of the market ahead of the elections”, he said.
The Nigerian Stock Exchange All Share Index rose from 0.2 per cent to 30,195.56 by the close of trading last Friday, extending its eight day gain to 9.5 per cent.
Stock prices fell to 7.2 times estimated earnings on February 12, the lowest in Africa and below the MSCI frontier Market Index multiple of 9.9.
But valuations rebounded to eight times predicated earnings for the next 12 months on Friday.
Quaranty  Trust Bank, Plc, the biggest bank by markets value has climbed, the most in the last eight days raising 36 per cent.FBN Holdings Plc, which owns Nigeria’s largest lender by assets, First Bank of Nigeria Limited, was up 22 per cent, while Zenith Bank Plc increased by 20 per cent in the period.
GT Bank and Zenith are “some of our farourite shares” said Iheanacho. “They are among the banks that have the greatest prosperity to weather the storm.