- Welcome and Introduction

Agenda

Welcome and Introduction 11.30-11:35am Moderator

Nancy Illoh-Nnaji

Welcome Address 11:35-11:40am Demola Sogunle

CE, Stanbic IBTC Holdings

Nigerian Economic Overview 11:40am - 11:50am Muyiwa Oni

Regional Head of Equity Research, West Africa, Standard Bank

Group

ACTS Offerings 11:50am - 12:00pm Luthando Vuba

Head: Africa China Trade, Standard Bank Group.

Guamao Offerings 12pm - 12:10pm Mike Zheng

Overseas General Manager , ZheJiang International Trading Supply

Chain Co., LTD.

Panel Discussion: 12:10pm – 12:30pm Luthando Vuba

Head: Africa China Trade, Standard Bank Group.

Muyiwa Oni

Regional Head of Equity Research, West Africa, Standard Bank

Group

Omoyemi Chukwurah

Managing Director, Seams and Stitches Nigeria Ltd

Mike Zheng

Overseas General Manager , ZheJiang International Trading Supply

Chain Co., LTD.

Questions and Answers 12:30pm - 12:40pm

Closing Remarks Ade Otukomaya

Head, Africa-China Banking, Stanbic IBTC Bank

- Welcome Address

- Nigerian Economic Overview

SUMMARY OF KEY POINTS

12

34

5

Covid -19 and how it is

affecting our world

GDP growth trend and outlook

Inflation drivers and

outlook

FX outlook and current account position

Government revenue and

debt position

Source: NCDC; Standard Bank Research

A snapshot of COVID-19 Cases in Nigeria as at 22/08/2021

• We still expect oil prices to hover around the $70/barrel range in expectations that supply will still outweigh demand. The

downside to this view remains the case of the rising new variant case which is causing new restrictions in some countries.

• While interest rate hikes are still far in the future, the market has been debating whether rising inflation could get the Fed to move

sooner to end its bond-buying program and start its rate-hiking agenda.

• Nigeria vaccination: 2.52million people (126% of the 2million people targeted for the first phase) received their first dose and

1.4million (70% of target) were fully vaccinated.

• The second phase of vaccination is expected to start this August.

0

500

1000

1500

2000

2500

8-Apr 8-Jun 8-Aug 8-Oct 8-Dec 8-Feb 8-Apr 8-Jun 8-Aug

New Cases 7-Day Moving Average Total Samples Tested 2,727,834

Total Confirmed Cases 187,023

Recovered 168,455

Recovery Rate 90.1%

Deaths 2,268

Fatality Rate 1.2%

RISING NUMBER OF NEW COVID-19 CASES

TRADE, ICT, MANUFACTURING AND CONSTRUCTION DRIVE Q2:21 GROWTH

Key sector growth rates

Source: National Bureau of Statistics; Standard Bank Research

-8.0

-6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

-40.0

-30.0

-20.0

-10.0

0.0

10.0

20.0

30.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

2015 2016 2017 2018 2019 2020 2021

%%

GDP Growth (RHS) Agriculture Trade ICT

Manufacturing Oil Construction Real Estate

AGRICULTURE AND ICT SECTORS TO DRIVE 2021 RECOVERY


Historical GDP growth

-4

-2

0

2

4

6

8

10

12

14

16

1991 1999 2007 2015

%

GDP Decade average

Growth Expectation

-3%

-2%

-1%

0%

1%

2%

3%

4%

5%

6%

2016 2017 2018 2019 2020 2021F 2022F 2023F 2024F

GDP growth (y/y)

0

5

10

15

20

25

Mar

-10

Jul-

10

No

v-1

0

Mar

-11

Jul-

11

No

v-1

1

Mar

-12

Jul-

12

No

v-1

2

Mar

-13

Jul-

13

No

v-1

3

Mar

-14

Jul-

14

No

v-1

4

Mar

-15

Jul-

15

No

v-1

5

Mar

-16

Jul-

16

No

v-1

6

Mar

-17

Jul-

17

No

v-1

7

Mar

-18

Jul-

18

No

v-1

8

Mar

-19

Jul-

19

No

v-1

9

Mar

-20

Jul-

20

No

v-2

0

Mar

-21

%

Headline inflation MPR 1-y T-bill yield

INFLATION COOLING OFF AMID BASE EFFECTS AND SLOWER RISE IN FOOD

INFLATION

Inflation, policy rate and 1-y T-Bill yield

Source: CBN; NBS; Standard Bank Research

300

350

400

450

500

550

Jul-17 Jan-18 Jul-18 Jan-19 Jul-19 Jan-20 Jul-20 Jan-21 Jul-21

NAFEX Parallel -

50.00

100.00

150.00

200.00

250.00

300.00

350.00

400.00

450.00

Jan-20 Mar-20 May-20 Jul-20 Sep-20 Nov-20 Jan-21 Mar-21 May-21 Jul-21

USD

'mn

USD/NGN Rate Avg. daily turnover in the IEFX Market

FX: PARALLEL MARKET RATE JUMPS C.500; LIQUIDITY PRESSURES PERSIST

Source: CBN,FMDQ

22.43

12.65 12.65 13.02

16.27

19.1119.94 19.49

23.00

30.00

0

5

10

15

20

25

30

35

2012 2014 2016 2018 2020

%

18 19 18 17

22

29

45

62

54

58

83

0

10

20

30

40

50

60

70

80

90

2010 2013 2016 2019

%

Debt-to-GDP (%) Debt service-to-Revenue (%)

REVENUE MOBILIZATION REMAIN MAJOR SOURCE OF FISCAL PRESSURE

Source: Budget office, Debt Management Office, Standard Bank Research

-0.94

-1.64

-2.37

-3.3-2.9

-2.2

-3.8-4

-3.5

-3

-2.5

-2

-1.5

-1

-0.5

0

2014 2015 2016 2017 2018 2019 2020

% o

f G

DP

Source: Budget office, NBS, Standard Bank Research

Recent Financing Plans• The Senate approved issuance of not more

than $6.18billion Eurobond for financing of part of the deficit contained in the approved 2021 Appropriation Act.

• The IMF-Special Drawing Rights (SDRs) allocation of $3.35 billion to Nigeria is expected to further boost FX reserves.

Nigeria’s Sovereign Ratings;

S&P and Fitch downgraded Nigeria's credit rating a notch lower in 2020 as the twin shocks

of Covid-19 and lower oil prices significantly impacted fiscal revenues in the absence of no

adequate buffer.

S & P: B-Fitch: B

FISCAL DEFICIT AND FINANCING PLANS

Fiscal Deficit as a % of GDP

2018 2019 2020 2021f 2022f 2023f 2024f 2025f

GDP (% yr) 2 2.3 -1.9 2.0 3.0 3.1 4.7 4.9

Current account (USDbn) 12.4 -17 -16.8 -14 -11 -9 8 12

CPI (% yr) average 12.2 11.4 13.2 15.5 12.4 11.4 11.8 11.5

Policy rate (%) – end period 14 13.5 11.5 11.5 11 11 11 11

5-year rate (%) – end period 15.8 10 3 13 12.5 11.5 11 11

USD/NGN – end period 365 365 400 430 440 460 460 460

NIGERIA: SUMMARY

Forecasts


- ACTS Offerings

AFRICA CHINA TRADE SOLUTIONS

“We connect clients to opportunities.We connect African buyers to Chinese

suppliers, and African suppliers to buying opportunities in China.

We connect our clients to seamless Africa-China Trade.”

CLIENT VALUE PROPOSITION

IMPORT• We provide a one-stop-

shop for you to easily

find Chinese suppliers,

through our Import

Partner – Guomao.

• You’ll receive favourable

payment terms: 20%-

30% deposit, 70% once

goods are ready to be

shipped.

• Our Import Partner

offers additional support

to you by undertaking

inspection on your

behalf to check quality

and quantity is in order.

EXPORT• We help you access the

China market through our

vetted export agents who

help you get export-ready

or to assist you across

the export value chain.

• We also can assist you

with your exports by

loading your products

onto the ICBC e-Mall, an

e-commerce platform

provided by the biggest

Bank in China, which is

used by their large

customer base.

TRAVEL• Are you in the hospitality

industry? We can assist

you to get your services

marketed in the Chinese

market through the ICBC

e-Mall.

• We can also help you

to target your marketing

for Chinese tourists

travelling in Africa

through the ICBC

I-Go programme,

a rewards programme

for the ICBC

customers.

AFRICA-CHINA TRADE SOLUTIONS

AFRICA CHINA TRADE – IMPORT SOLUTION

AGRICULTURE TOOLS & EQUIPMENT

No. of Units

Model/Description of Unit(s)

1SINOTRUCK HOWO 6*4 DUMP TRUCK LEFT HAND DRIVE

2 Sino Howo A7 6x4 Tractor Truck

3

Sino Howo 7 6x4 Tractor

Sino Howo7 6x4 Dump Truck

3 Axel Flatbed Semi-Trailer

1 Sino Howo 7-Water Bowser

2 Sino Howo 7 Dumper

1 Sinotruck Howo 8x4 Dump truck

2 40 Feet 3Axles Flatbed Semi-trailer

1 6x6 Howo Water well drilling machine and parts

1 Sino Howo 7 6x4 Concrete mixer RHD 14 CBM

2 Sino Howo 7 8x4 Concrete mixer RHD 16CBM

1 Sino Howo 6x4 29.2m Concrete pump truck

1 Concrete batching plant - mixer truck

Items

Axe Head with wood handle

Pick Black color

Matchet with Wood handle

Hoe head Cock Brand

Hoe handle

Shovel Black coating and grip

Sickle

Shovel 2kg

Blue PVC Layflat Hose

Orange PVC Suction Hose

Stainless Connector

Stainless Clamp

Hoe Head

Hoe handle

Matchet with Wood handle

Matchet with PVC handle

Slasher, with PVC handle

Five rows maize planter

Twelve Discs Disc Harrow

Nine rows wheat planter

SINO TRUCKS MEDICAL – COVID 19 RESPONSE

Items

Disposable Medical 3ply Surgical Mask

KN95 Surgical mask

KN95 Medical mask

Disposable KN95 mask

Isolation gown

Mop caps

Shoe overlays

Safety goggle

Covid rapid testing kit

Receive

PaymentsExport

Prepare

for Export

Navigate Regulator

Requirements

Establish Market

Access

African

Exporters

Chinese

Importers

• Buyers

• Partners with access to Buyers

• Virtual Matchmaking

• ICBC E-Commerce platform: GETS

By leveraging our partnership with ICBC, the world’s biggest bank, as well as a number of other reputable off-takers, Standard connects you with importers in China, providing clients with an unrivalled competitive advantage for Africa China Trade.

Zimbabwe team focused on exports of commodities such as (but not limited to) macadamias*, tobacco and crocodile skins.

Exporters can engage with buyers via physical & online sales channels and matchmaking events.

*Protocol in place for exports to China

CONNECTING YOU TO REPUTABLE BUYERS IN CHINA

20

VIRTUAL MATCHMAKINGLEVERAGING DIGITAL CAPABILITY FOR OUR EXPORT SOLUTION

In 2020, due to the challenge of the pandemic for physical travel and physical gatherings, we pivoted to Virtual Matchmaking events. We used these to connect our African exporters to Chinese off-takers who were interested in alternative markets or African products:

• The 1st one was held in October 2021 with 23 Exporters participating with over 50 Chinese off-takers.

• The first event was successful and then we went on to host two more in November and December 2021. Matchmaking sessions are product focused, thereby bringing buyers and suppliers of specific products

• A total of 65 African companies participated across the 3 Virtual Matchmaking events in Q4 of 2020

• Some of the products were Macadamia, Cashew, Coffee beans, Cocoa bean to mention a few

• In 2021: This now a quarterly event

AFRICA-CHINA EXPORT INITIATIVESCAETE AND CIIE

HOW WE SUPPORT OUR CLIENTS WITH THEIR CHINA IMPORTS

Prosep Chemicals provides a total water management system in South Africa and imports goods from Chinawhen developing water management solutions for clients. CEO of Prosep Chemicals, Steve Evans, approached Standard Bank’s Africa China Banking division to assist with sourcing trusted suppliers and facilitating a visit to China.

Assisted Prosep Chemicals to identify the right suppliersStandard Bank introduced Steve to the China Trade Agent, who assisted in making the travel arrangements for Steve, identifying the right suppliers for Prosep Chemicals and setting up meetings between Steve and the suppliers across China.

Navigating language and cultural barriersDuring the trip to China, the agent accompanied Steve to assist in communicating effectively with the potential suppliers.

Improving Cross-Border Payment EfficienciesPreviously, Prosep Chemicals would need to make a 50% advance payment before goods in China would be manufactured and the balance of payment prior to shipment. With the introduction of Standard Bank’s Africa China Trade solution, Prosep Chemicals is now able to make a 20% advance payment with a 90-day letter of credit, ensuring that quality goods will arrive as per the company’s specifications.

- Guomao Offerings

目录 C O N T E N T S

About Guomao01

Quality of China02

Guomao's Roles03

01

About Guomao

Have you encountered pain points in the process of your trading with China

Introduction of Guomao

21 years Experience in International trade

➢ Full quality control

⚫ We have a professional team of international lawyers, with

which trade risks to suppliers can effectively be reduced

➢ Reducing the risk of supplier fraud

⚫ As the only partner of Stanbic IBTC Bank in China and

one of the largest foreign trade companies in China, we

have TT, LC, DP and other payment methods to ensure

the security of Your Business and capital.

➢ Varied kinds of Payment Terms

⚫ We are also an AEO(Authorized Economic Operator),

so the clearance of goods exported from China to

Nigeria customs will be much easier and faster.

➢ AEO Advanced Customs

Certification & Clearance

⚫ Guomao is an enterprise with 21 years experience in

foreign trade. We provide services to 3,500 foreign

Clients. We have accumulated and deposited a batch

of almost 10,000 high-quality suppliers.

⚫ Together with the professional QC team, suppliers'

background inspection can be carried out before

placing orders and quality control of the products are

ran before loading and sending to customers.

Specialised Industry of Guomao

C o n s t r u c t i o n a n d M i n i n g E q u i p m e n t

( X C M G , S H AN T U I S I N O M AT C H S I N O T R U K )

A g r i c u l t u r e E q u i p m e n t

( Y T O， Z O O M L I O N , M E Y E R , A M D )


P l a n t P r o d u c t i o n L i n e E q u i p m e n t

S o l a r P r o d u c t s ( B r a n d : J I N K O , J A , Ta l e s u n , L o n g i )


A m u s e m e n t E q u i p m e n t

A l l k i n d s o f P a r t y Te n t

02

Quality of China

Quality of China

www.qualityofchina.cn

03

Guomao's Roles

Guomao plays an important Role in Africa-China Business

Stanbic IBTC ACTS Team is our Best Choice !

One-stop service to facilitate importers’ customer satisfaction in a seamless

way.

1. Saves you r t ime by p lac ing and tak ing cha rge o f you r

who le o rder

2. Guomao’s who le spec ia l i sed one -s top expo r t se rv i ce wi l l

make o rder execu t ion eas ie r ;

3 . Guomao i s S tanb ic IBTC Bank ’s on ly pa r tner, t he re fo re

j us t f ee l f ree to communica te w i th the ACTS team and

Guomao any t ime you need he lp .

1 . Produc t ’s Qua l i t y ;

2. R isk in f und t rans fe r ;

3 . Supp l ie r R isk ;

4 . Expo r t and impor t p rocesses ;

Easier, more efficientHigh risk Business Reduction On

Some thoughts on China-Africa Trade

COSCO Haikong: net profit in the first half of the year

increased by 3162% year on year

On 7 July, COSCO announced that it expected to achieve a net

profit of 37.093 billion yuan in the first half of the year, compared

with about 1.137 billion yuan in the same period last year.

With the changes of bus iness envi ronment between Af r ica

and China and the impact o f Vi rus spreading, Af r ica and

China Bus iness s t i l l face b ig chal lenges.

1

With the rap id development of China -Af r i ca Trading Business , the

indust ry of agr icu l tu re , const ruc t ion and other indust r ies is

growing s t rong ly now and in fu ture .However expor t the products

which need in China f rom Afr ica to China has a lso become a

t rend .

2

Unl ike before, more and more c l ients have s tar ted paying

more at tent ion to the qual i ty o f product, fu l l -af ter sa les

service and bus iness secur i ty.

3

Panel session 'Facilitating Africa-China Trade: The role of Stanbic IBTC Bank'

Luthando Vuba

Head, Africa China

Trade, Standard

Bank Group.

Muyiwa Oni

Regional Head of

Equity Research,

West Africa,

Standard Bank

Group

Omoyemi Chukwurah

Managing Director,

Seams and Stitches

Nigeria Ltd

Mike Zheng

Overseas General

Manager , ZheJiang

International Trading

Supply Chain Co.,

LTD.

Q and A Session

Ade Otukomaya

Head, Africa China Banking, Stanbic IBTC Bank

- Closing Remarks

Thank you Contact our Africa-China Banking CentreEmail – [email protected] – 01 422 0006

Contact the Guomao Team

Zhejiang Interational Trading Supply Chain CO., LTD

Overseas General Manger(Guomao): Mike Zheng

Whatsapp : 00 86 137 8346 9298

Wechat : 0086 150 5867 0638

E-mail : [email protected]

- Welcome and Introduction

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Transcript of - Welcome and Introduction