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Sir Ambrose Omordion, Chief Operating Officer, InvestData Ltd., said budget implementation, economic data, political activities and the removal of fuel subsidies will determine activities in the coming year.

He added that OPEC meetings, December year-end corporate earnings, interest rates and industrial production would also shape economic activities in 2022.

He also listed agriculture, financial services, telecommunications, manufacturing, industrial goods and healthcare as sectors that would drive stock market growth in 2022, along with their contributions to GDP.

Omordion added that there would be more opportunities for financial services, especially banks which stand to benefit from the free trade area agreement.

Telecom companies, especially MTNN and Airtel, which are increasing their cash flow thanks to the current dynamics of the digital economy, payment services banking license and others, will increase their performance during the new Year “, said Omordion.

He explained that removing fuel subsidies and restructuring the sector with GDP in operation would open up new business opportunities in the industry.

Omordion, however, said the outlook for the stock market and the economy in 2022 remained mixed and risky being a pre-election year with expectations of change in government economic policies.

Also speaking, Mr. Rotimi Olubi, the managing director of Morgan Capital Securities Ltd., said stock market performance in 2022 would be characterized by several factors.

Olubi said the introduction of IFRS 17 for insurance companies would impact the reporting of insurance company contracts.

He added that a complete deregulation of the oil and gas sector would lead to an increase in the price of gasoline at the pump and that the ripple effect would lead to inflation.

According to him, the recapitalization of insurance and pension companies will lead to many mergers and acquisitions as well as possible hostile takeovers in 2022.