Business confidence holds up in Nigeria: StanChart

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Business confidence has held up in Nigeria despite the Ebola virus, and the economy appears unaffected, says Standard Chartered.

This is after the banking services provider saw the addition of Nigeria to it and MNI’s Business Sentiment Indicators.

“Business confidence appears to be robust in Nigeria, with demand and output both increasing at the fastest pace since the Standard Chartered MNI BSI series began in March.  It is likely that the holiday season in Nigeria lifted output,” Standard Chartered said.

“While interpretation of trends within the BSI should improve over time, there are a few key observations – despite the Ebola virus, business confidence has held up and the economy appears unaffected [and] employment remains flat despite the strength in orders and output.”

(WATCH VIDEO: EU-Nigeria Business Forum proceeds despite Ebola outbreak)

According to the financier, market watchers with a focus on Nigeria will now benefit from two market indicators sponsored by Standard Chartered, a Business Sentiment Indicator and the recently launched Consumer Price Tracker.

Standard Chartered’s regional head of research for Africa, Razia Khan, said, “Adding the Nigeria Business Sentiment Indicator to our market indicators enables a broader perspective to Nigeria’s market dynamics.”

“We look forward to analysing trends and developments over the coming months, as the series takes shape,” she added.

The addition will now see Standard Chartered and MNI Indicators publish monthly Business Sentiment Indicators for two of Africa’s leading markets, namely Nigeria and Kenya.

(READ MORE: Kenya’s consumer confidence in banking on the upswing)

“Following the record surge in the BSI in September, October saw some retracement in business activity. However, the Standard Chartered MNI Kenya BSI remained above the 50 breakeven level, denoting economic expansion,” the financier said.

“The short history of this index places some limits on analysis as it is not yet possible to adjust for seasonality. Nonetheless, November’s Kenya BSI will facilitate greater insight into the economy’s growth outlook.  Standard Chartered remains optimistic on Kenya’s growth prospects.”