August 7 2019 www.firstbanknigeria.com Outline Macro, T rending - PowerPoint PPT Presentation

STRATEGIC VENDORS’ ENGAGEMENT SESSEION. MACRO-ECONOMIC UPDATE August 7 2019 www.firstbanknigeria.com

Outline Macro, T rending News…..Global Macro, T rending News…..Domestic Market Updates 2

Macro Trends - Global  Fed cut rates by 25bps  Escalation of trade tensions between US & China  China’s growth expected to slide to Declining trend in global output growth 6.2%  A new round of sanctions imposed on Iran.  Possible hard BREXIT , given the new PM stance  Vulnerabilities in major fjnancial markets  Rising public & private debts in some 3 EM and DMs  ECB is going back to quantitative easing.

Macro Trends - Global The environment is changing - more accommodative monetary policy stance globally, in response to low infmation & deteriorating growth prospects 4

Macro Trends - Domestic • Fragile and uneven economic growth  2.01% y-o-y expansion in Q1 2019 (0.12% rise from Q1 2018 and 0.38% decline from Q4 2018) General market • IMF just increased forecast of economic growth to apathy, portends 2.3% from 2.0%. relatively subdued growth prospects. • Short-term rates trajectory suggests a deliberate easing of liquidity conditions, YTD rates down by 470bps; • Capital fmows dwindling from about $11.86bn in Q1 2019 • • Policy uncertainties • EM sell-ofgs, triggered risk reduction • Geopolitical risks and security concerns 5 • Infmation currently at 11.22% y-o-y June 2019 from a year-peak of 11.40% in May 2019, 0.20% lower than 11.37% in January 2019 .

Market Updates …….. Central Bank of Nigeria:  Plans to achieve 80% fjnancial inclusion target by 2020  To adopt systemic tightening  Target to refocus banks to do consumer credits  Recently slashed the maximum earning amount for standing deposit facilities to N2bn from N7.5bn  Reduced mop up activities  Set Loan to Deposit ratio to 60% for DMBs, a must compliance by Sept 2019.  No change in CRR regime. 6  Maintained MPR @ 13.5%, all other key rates and ratios unchanged.

Market Updates …….. • A declining interest rate environment; trend expected to be sustained in near term. 7

Market Updates …….. • Near direct correlation between Oil Price & FX Reserves. • Joint destiny? As long as Oil revenues remain the major source of reserves • Volatile Oil prices; currently around $61/bbl • FX reserves $44.8bn from $45bn at the end of H1 2019 8 Triggers for review of FX policy set at: Reserves below $30bn & oil price falls below $50/bbl.

Market Updates …….. • Multiple FX windows still subsists  CBN – 306/307  Wholesale SMIS– 357/358  Retail SMIS – 330/345  Retail SMIS (Yuan) – 49/51  SME/Invisibles – 360  NAFEX – 362.50/363.5  Parallel – 358/360 • FX reserves & oil price, supportive of current FX policy. • No plans to review structure, except where reserves fall below $30bn and oil price falls below $50/bbl. • More controls around FX demand expected, e.g. Dairy products may be included in the restricted items. 9

Opportunities • Take advantage of the various sources of FX to close out FX obligations • Non Deliverable Forwards (NDFs) can be used to hedge exposure to eligible FX risk • Coys with access to FCY funding may take advantage of FCY loans and hedge with Cross Currency Swaps. • Fixed Income market profgers short term investment opportunities for idle funds. 10

Thank you 11

OUTSOURCING FOR EFFICIENCY VENDOR ENGAGEMENT SESSION 4 POINTS 7.8.2019 www.fjrstbanknigeria.com 1

Outline • Defjnition and Examples of Outsourcing • Why Outsource? • Key Considerations • Underage Employment • Work Life balance • Work Life Integration www.fjrstbanknigeria.com 2

Defjnition and Examples of Outsourcing EXAMPLES  Human Resource Management  Facilities Management  Supply Chain management  Content Writing  Engineering  Accounting DEFINITION A process in which a company contracts with another company to manage services that it needs but it doesn’t want to provide itself.

WHY OUTSOURCE?  Lowering of Costs and Improving the effjcient allocation of resources within a company.  It allows a company redirect its attention to its own competencies. Outsourcing Requires a high degree of standardization and management control in order to be efgective.

KEY CONSIDERATIONS  T alent Resourcing – Right skills and competencies  Right Hiring – Background Checks  Performance and Productivity  Cost Savings  Security Risks - Fraud  Negative Public Relations - Brand

UNDERAGE EMPLOYMENT LEGAL WORKING AGE The legal working age is the minimum age required by law for a person to work in each country or jurisdiction. Some countries go as low as 13 for easy work (Kenya), some 15 or 16 and 18 for restricted working hours and type of work and unrestricted respectively(Kenya and South Africa. NIGERIA  The minimum age for employment is 12 years . A child (under 12 years) cannot be employed to work in any capacity except where in a family enterprise on light work of an agricultural, horticultural or domestic nature approved by the Government and must not be required to lift, carry or move anything so heavy as to injure his physical development.  Minimum age for employment in industrial undertakings is 15 years, however this cut-ofg age is not applicable to the work done by young persons in technical schools or similar institutions if the work is approved by Ministry of Education.  Young persons under the age of sixteen may not be employed to work underground or on machine work or on public holidays. They are prohibited to work in circumstances where they are unable to return to their place of residence except with the approval of the authorized Labour offjcer.  Minimum age for hazardous work is 18 years. Source§ 18 of the Constitution of the federal Republic of Nigeria 1999. §59(1-5) of the Labour Act(Cap L1LFN 2004)

UNDERAGE EMPLOYMENT CONT’D THE CHILD’s RIGHTS ACT PROHIBITS THE FOLLOWING: -  The use of children for the purpose of begging for alms  Use of children as slaves or for practices similar to slavery such as sale or traffjcking  Use of children for hawking of goods or services on main city streets, brothels or highways  Use of children for any purpose that deprives the child of the opportunity to attend and remain in school as provided for under the Compulsory, Free Universal Basic Education Act.  Procurement or ofgering for prostitution or for the production of pornography  Procurement or ofgering for any activity in the production or traffjcking of illegal drugs and any other activity relating to illicit drugs as specifjed in the National Drug Law Enforcement Agency Act.  Violation of this provision is punishable with imprisonment for a term of ten years.  Minimum age for harzardous work is 18 years. Source§ 59(5-8) & 60 of the Labour Act(Cap L1LFN 2004); § 28 -30 of the Child’s Rights Act, 2003

WORK LIFE BALANCE DEFINITION OF WORK LIFE BALANCE – The division of one’s time and focus between working and family or leisure activities. EXAMPLES;-  Creation of Flexible leave policies  Foster a healthy work environment – creating healthy events like aerobic classes outside the work place. Provision of a healthy meals in the offjce canteens  Create family-friendly policies like children education loans, family bonding events etc. BENEFITS: -  Reduction of Stress and health issues  Prevention of Burnouts in the workplace

WORK LIFE INTEGRATION DEFINITION OF WORK LIFE INTEGRATION – This term is used instead of Work Life Balance because the latter evokes a binary opposition between work and life. Work Life Integration is an approach that creates more synergies between all areas that defjne “life": work, home/family, community,personal well-being and healthe divison of one’s time and focus between working and family or leisure activities. Management of work responsibilities alongside personal & family needs. WORK LIFE INTEGRATION INITIATIVES: -  Flexi Work hours – Ofg Site Work  Family care leave  On site child care facilities – Crèches etc.

THANK YOU www.fjrstbanknigeria.com 10

FirstBank Vendors BCM Engagement & Awareness Session Building Resilience in Our Vendors Businesses August, 2019

Outline Introduction • Recent Developments and Implications for Vendors • Global Top 10 Threats to Business Continuity & Implications • for Vendors • Organisational Resilience and Its Imperatives for Vendors • Business Continuity Management • Our Collective Roles & Responsibilities • Wrap-Up 2

Our Vision & Mission Statements Our Vision: To be the clear leader and Nigeria’s bank of fjrst choice Our Mission: To remain true to our name by providing the best fjnancial services possible 3

ction {The Big Picture: Success in Business Organisation}  At the core of every business organization are Survival 3 basic objectives by Survival which success may be defjned. Growth and Growth and . Profitability. . Profitability. development development  It may be said that a business survives and develops in order to provide a profjt, or makes a profjt by which it can survive and develop. 4