Serious New Year Edition, 2021

ECONOMY | GAMING | ENTERTAINMENT

A Better Time: 2021 Outlook

- Prof

Year Of Lefasefare

- Dami

Money No Dey Lagos

- Everyday Big Man

Betting Butter

- Lushlash

Wahala Be Like Bicycle - Pascolo

Happy new year. I had intended to say this in July, but there's still Covid­ 19. So this is a real happy new year. I pray that all the suffering of 2020 stays there and 2021 is filled with joy, happiness, peace, safety and good health. Let the church say Amen and the mosque Allahu Akbar.

This prayer is deep from my heart guys, 2020 was a really, really scary year.

In this edition, we look at some of the lessons 2020 taught us – the most important being “Health is wealth.” When I prayed, I saw that someone on the team had seen the 2021 vision for Nigeria and all I know is that everyone must be on a steady we dey our lane grace and not lose guard. This is Nigeria, and anything you see, you just take it like that!

My good friend, Tosin A., told me this year that betting is the poor man's stock market – Warren B., my other close friend really hates this, but I totally see where Tosin is coming from. We all need multiple streams of income and I want to believe this is what drives some of the decisions in betting. It also gives hope that person fit blow at any time – aren't we all taking bets by just existing? Especially in this Nigeria. We also give you some good information on how to make legal bets through investments in functional market instruments. Lastly, we discuss how if you're looking for forex, trade and diaspora (Canada way) are the vibe.

In 2021, I just want to have fun, I just want to spend money. Join me guys, no de do like bolo o, let's do this!

It’s A New Year! What’s On Your Mind?

a better time

A Better Time 2021 Outlook

- Prof Jowo

We start this article with a plea. Nigeria jo jo wo let this year be great. Honestly, three gbosa for the two person wey born our Nigerian leaders for how they were able to manage the hectic year called 2020.

Many many situations are trying to whine us. Still, our outlook for the year is positive relative to 2020, and our expectation is that of slow but steady growth. We don't really expect baba to make so many changes, and he would probably be continuing his policies on both the local and international front. But then, we beg God again, Daddy jo jo wo, let this year be great for us, help us be safe in Nigeria and cash out, and if the vision is still Canada, protect Canada from any outbreak that would make them close their borders. Protect Trudeau too, because this life no balance.

Something Fishy

We all know the story that food prices are telling in the market, panla is now N900/kilo, tomato paste is now N120 from N50, aboki is cashing out with Dollar, and unemployment is rising – it's not a sweet story at all. Even though the country is currently recording a negative GDP growth (recession), we anticipate a positive growth, worst case scenario, by the end of June 2021. This is because we expect a full resumption of economic activities, and despite what seems to be a second wave, we believe the pandemic would have a less harsh effect on the economy. We don't see unemployment improving, so please, Jara e, create opportunities, start small and grow; at least you have The Business Hub by Sterling to support you.

The food crisis might not be going anytime soon due to the persistent insecurity in some parts of the country. We hope that things improve so that this pressure on food causing high inflation might be over soon. Recent trends of low harvest yield and non­ access to market might also linger, further affecting an already vulnerable food condition.

Shopping Spree

The Dollar is currently turning oniown; we are not even looking at Pounds and Euros again; lemme just mind my business. We expect a slight improvement in Dollar reserves due to the CBN's new policies on remittances, improved oil prices, and as per awon IJGB

came through in December. Following oil sector deregulation, fuel pump prices might remain high, and in Nigeria, anytime oil prices go up, everything else follows. Apart from agriculture, other labor elastic sectors, particularly manufacturing, construction, and crude oil, may remain challenged, thus affecting employment and labor productivity negatively. We still also expect further devaluation, so the 30BG gang that used to have $76mil(at N390/$) could have $75mil(at N400/$). With high inflation and other lingering economic challenges, we expect household spending to decrease due to reduced disposable income and high prices. Meaning you might not be able to go to Timbuktu unless you save aggressively, don't worry Doubble.ng gat you!

So Crazy

We expect government spending to increase . According to the 2021 finance bill, the federal government is expected to spend ₦13.4 trillion($34 billion), 35% higher than the previous year and 9.5% of the nation's entire GDP. So, expect borrowing to increase this year because it doesn't look like government expenditure is going down soon.

Holy Ground

Kamala calls Joe brother, and he calls her sister too! We look forward to a change in US affairs and hope Donald is finally ready to accept defeat. We don't expect the China­US trade war to end soon, nor do we expect Nigeria­US relations to improve significantly. Hopefully, immigration policies might be the most popular thing on the table, not just in the US but worldwide. We are still waiting to see how the AfCTA plays out but seeing the small disagreement between Nigeria and Ghana, international trade will be one to keep an eye on. We also hear that electric cars would increase worldwide, except in Nigeria, where you would have to buy an extra generator (it's a musk!). And yes, shoutout to Mama Ngozi, our great titan, and several others putting Nigeria on the global map.

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A Better Time 2021 Outlook

- Prof

The Best

Again, we are not Pastors or Imams; 2020 has taught us not to predict but instead be flexible enough to adapt to whatever the year throws at us. Our mentor would be Bridget Bema, a young lady teaching us not to conform to societal norms and be strong enough to survive. No matter what this year throws at us, we look forward to a better time!

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Winter is Coming On the 27th of February, Nigeria recorded its first COVID­19 case, which began our induction into the pandemic world. By this time, the rest of the world had recorded thousands of cases and deaths, and by estimations, it was going to be a blood bath. It wasn't just COVID, our economy had barely bounced back in 2019, and here we were, government revenue cut by more than 60% and a pandemic brewing in a country of over 200 million people with little or no healthcare infrastructure. Baba and Uncle Jide swung into action, and by March, all borders were shut, and a mandatory lockdown was put into effect in parts of Nigeria. We started to watch our cases grow from 10 per day to 900 per day, food prices soared, and businesses got affected. The most painful were the lives we lost, friends and family, due to this pandemic.

It was a long two months of Tiktok challenges, #bopdaddy, #tissuechallenge, #dontrush, among others. The world basically shut down because winter had indeed come.

Out of The Ashes

Year Of Lefasefare

- Dami

Long and Short Year When the lion himself, Indaboski, called 2020 the year of lefasefare, nobody knew what he actually meant, but that has been the summary of 2020; confusing. It was a long and challenging year, a year of so many happenings yet so little happening. Everybody agrees that it was a long year but somehow still short as we moved through January, February, March, Covid, and December. As we enter into the new year, we take you through the previous year and try our best to summarize an eventful journey.

Weighing the economic costs and the impact on lives, the Nigerian government strategically eased the lockdown while applying safety measures. They also received loans and grants to tackle the health and economic crisis. The effects were grave as we entered another recession by the end of June. Slowly, economies began to ease out of lockdown – football was returning, restaurants re­opened, Iya Oyinade was back in business – and that brought me joy. But the pandemic had and is still costing us. We heard that the world lost over 3 million people directly and indirectly to COVID alone this year and over $1 trillion, God no go shame us.

The economic downturns have affected everyone, including our exchange rate, which soared from about #308/$1 to #390/$1. Inflation soared to 14.23% as food prices doubled and security situations deteriorated. Still, the good news is that everybody got married as well; I mean it, if you are single, you are probably among the five single people in Nigeria.

Why

Story of Fire and Ice The US killed Qasem Soleimani, a top Iranian general, on the 3rd of January, and Iran was ready to retaliate in what people expected to be a full­blown crisis. That was the start of the year we got. Nations had begun to take sides, and we even heard there was an anti­US protest in Nigeria – abeg na dem. In retaliation, the US base was attacked, and unfortunately, a Ukrainian commercial flight was mistakenly gunned down, killing 176 people on board. While the tensions slightly doused, this was only the first week in January. What soon followed was a full­scale outbreak of COVID­19 in China, shutting down one of the largest economies and causing a drastic drop in oil prices. We lost the Mamba, and Australia was engulfed in its largest wildfire in over a decade, and this was just January.

Around the world, people began to ask the question of why and why not. From the #BlackLivesMatter protests in the US to Hong Kong, Nigeria, Thailand, India, South Korea, Algeria, Chile, Columbia, Lebanon, people began to demand better conditions as citizens are increasingly becoming aware of their power as the people. The tech world, ever standing gidigba despite the challenges still received the money. In spite of the odds, your bank still blessed you with OneBank, the sweetest app known to man. By the way, we also heard that the palliatives were looted and Daddy Femi Falana was so upset by the government's actions.

Professor 2020 If we actually were to talk about all that happened this year, there will be no space left. 2020 dished out a lot of things, which includes the death of prominent sportspeople and leaders, globally and locally: Kobe Bryant, Abba Kyari, Chadwick Boseman, Abiola Ajimobi, Adebayo Osinowo, Ibidunni Ighodalo, Mara Dan Foster, and millions more who we may never know their names. From the Beirut explosion to the Jere massacre to the coups and government changes, the year taught us to appreciate lives and those around us. For every plan that failed, we take solace in the ones that worked; for every disappointment and loss, we rejoice at the chance to go again. This year feels like 5 years packed in 1, but we must keep on keeping on, with our chin up, heads high, and with our full chest (almost forgot we had Big Brother this year sef). The good news is that it looks like the worst is behind us, and as creatures of hope, we look forward to a better time!

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Introducing

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Earn. Learn. Fun

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Betting Butter

- Lushlash

The Good, The Bad and The Ugly

Sho ni Ticket? Pick Am! Cash Out! Cash Out!

Early in December, Barcelona FC lost Cadiz FC, while this just seems like a random information, it cost the betting world an estimated $1 billion and Nigerian sporting companies made an estimated N50 million on that match alone (how will Barca even lose??). Every other weekend, my Twitter TL is awash with banter about tickets that “cut” and those that have “cashed out.” At the same time, my thoughts are interrupted by the sounds of exclamations (everything between “Ye!” and “Ope O!”) from the Bet9ja shop behind my house. Over the years, the gaming industry has undergone transformation and in the case of Nigeria, phenomenal growth in reach and value of the industry; this growth has been so organic and widespread that I think we all need to take a look at what is going on there.

going, the exponential growth can be attributed to two key factors: Cost and Technology, both creating a thriving environment for gambling in people and policies.

Have you ever wondered why people bet regardless of what their pockets are saying? Or why there are more NairaBet shops than Redeem churches? A wise man once told me that betting is the Stock Exchange for the poor man – the risks are similar, with a little financial commitment and risk, you can cash out for life and in that same vein, one wrong move can wreck your entire family legacy. The minimum amount needed is N100, some sites even allow N50 and depending on the odds and the number of predictions/kinds of betting, you can make as high as 10,000% return. With a combination of low cost, low risk and a struggling economy, it is no wonder many Nigerians explore all means of escaping the poverty cycle.

At the end of the day, all die na die. Many Nigerians are more comfortable with betting than trading stock, at least they don't need to read about Pfizer or Tesla. They are turning their passion into profit by supporting their teams, and they can trade with any amount regardless of their location.

Odds are Forever in Your Favour The Nigerian betting industry has come a long way since the days of Baba Ijebu. From the late 2000s when Akin Alabi received its license from the Lagos Lottery Board, the number of local betting companies have grown to over 50 operating across Nigeria with over 60 million users between the ages of 16­40. To put this in perspective, there are 22 banks in Nigeria with 79 million active accounts and in 10 years, the betting industry acquired over 60 million users. We heard that average daily spending on sports betting is about N3,000 (an estimated N730 billion every year), making the Nigerian gaming industry the biggest in Africa.

Again, for context, Nigerians spent a total of N 628 billion on entertainment and water in 2019, which is 13% less than they spent on betting within the same period. In fact, according to a report by KPMG in 2016, Bet9ja, one of the largest Nigerian sports betting companies makes an estimated monthly turnover of $10million! And play in an industry worth 5 billion naira – the real SPENDINGGGGGG!!!

The betting industry is also locally based and using a distinct penetration method, it has reached even the most rural parts of the country by employing local agents who are familiar with the environment and so are trusted by the locals.

Playground for Champions

Another reason for the growth in the industry is the increase in mobile penetration across the country over the past 10 years; as access to technology and internet increased, so did the penetration of sports betting. Today, from the comfort of your home, you can access your bet account and place your bet. There are even multiple payment channels, including QR payment, USSD and instant bank deposits. The technology keeps evolving and creating an attractive ecosystem. Nigerians are ardent lovers of sports and that love and passion have been key drivers for them to feel like they are so vested in the teams they are supportive of, even if it includes getting to the bottom of their pockets. So I can say Up Man U and still make money because Rashidi scored before the 25th minute.

God When?

5 Billion Gang

Finally, we are a people that thrive on hope, we exist by practically asking ”God when “ and saying “God abeg ” and it is this hope that betting companies sell. So each time the players pick a ticket, they are convinced it is their “time,” so creating the most potent problem in betting – addiction! While there are religious and moral biases in the country, it is clear that the betting industry is doing something that is attracting Nigerians, and their business model is one we can learn from.

The sports betting market in Nigeria is expected to grow to $2 billion by 2025 and is poised to maintain its growth trajectory, especially with the continued downturn of the Nigerian economy and state of affairs.

Every day Nigerians go out with hope praying that luck smiles on them.

Their faith is reinforced by testimonies of people cashing out, putting N150 and making N100 million. Apart from the hope that keeps them

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Money No Dey Lagos

- Everyday Big Man

First, The Lagos Anthem (In English ) Every night, Bentley, Every night, Rolls Royce On the toll gate road, we are going to chop life My friend is driving an Aston Martin, I'm driving a Bugatti Every Friday night, we are going to chop life Yet, they will say…

Treasury bills (T­bills for short) and bonds have always been the safest investment options and i­invest pioneered the market in providing quick and easy access to these types of investments. With minimal capital and a smartphone, anyone can buy treasury bills within a few minutes. While we are currently begging God to arise and cause the T­ bills rate to rise, they remain a significant opportunity and you should definitely download i­invest today.

The F-Word

If you are looking to step up your investment game and invest in the growing sectors of the Nigerian economy, then agriculture provides a decent opportunity. Agro­partnerships platforms are giving millennials the platform to invest in agriculture with minimal capital. SABEX is another game­changing platform you should look out for in 2021, it will be an agro­commodity exchange platform designed for the everyday investor. You should definitely consider investing in agriculture; the government wants us all to become farmers anyway, so here's a chance to show your patriotism.

­ Omoniyi Temidayo Raphael, World President.

Eko Wenjele

Let's get it straight, there is money in Lagos, in Nigeria and all over the world, we all just need to figure out how to get more and more of it. 2020 was all Vibes and Insha Allah because most of us let go of some financial goals for the sake of our mental health; that 1 million I wanted to save remains N995,000 to reach my goal. But as God no go shame us, in 2021, we are Serious about making money.

DIY investments have officially become a thing. Now more than ever, millennials are investing using digital investment platforms. Major online brokers like Charles Schwab, Etrade and Robinhood experienced over 170% portfolio growth in 2020, with over 50% of the increase coming from people between the ages of 24 to 35. So, if other millennials are making money, why not you? Padi mi ma logo.

After all the trouble we faced this year, and with 2021 loading ding ding ding loading, we have decided to be your investment plug for the coming year. Depending on your risk appetite (i.e., how much risk you like to eat), you can choose from a wide array of DIY investment options.

However, the higher the risk you decide to take, the higher your potential reward; but ultimately, no risk, no reward #NGNG.

One Naira

Perhaps the simplest way to invest is with simple savings platforms. We gat you with Doubble providing above market interest rates on regular savings. Doubble even gives users the opportunity to earn up to 100% interest within a few years. So, if you are looking to earn more from your savings, sign up today. On a side note, it is largely rumored that all Nigerian women save their money on these platforms, so you know where to check when they claim to be broke. You are welcome.

Stocking

Buying shares in local and international companies have always been an excellent long term investment option. Boomers and Gen­Xers will probably still drive long distances to meet their stockbrokers, but millennials are investing in shares from their mobile phones. Bamboo, Wealth.ng, Robinhood, i­trade and many more are platforms that provide flexible options for local and international stock market investment with the requisite support. Basically, this means you can own a stake in Sterling or Microsoft… how's that for bragging rights? *In Naira Marley's voice* “I'm just thinking, I'm not saying you should do it,” but if you wish, you can invest in some cryptocurrency. You probably know one or two people who have made some cool crypto­cash or a thousand people on IG who “trade bitcoin ”. It is also worth knowing that the Nigerian Stock Exchange has issued regulation that allows cryptocurrency to be treated as a trading asset. So, if you are also thinking about it, you can try BuyCoins, Luno, CoinBase, etc., to begin trading today.

In case you are wondering how to start your money journey, we invite you to join us at Trybeone. Our inspirations for 2021 are Jeff Bezos and Mummy C Dollar; and the plan is to cash out, but on OneBank instead of CashApp (buy local to grow local ). Hope you enjoined our Trybeone party and if you didn't, you missed. It will be great to see you too pull up with your squad in your own version of an Aston Martin or Bugatti and loads of Millennial Money.

We are rooting for you!

dou bble 10

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Wahala Be Like Bicycle

- Pascolo

Wahala for Who No Get Backbone

We head into 2021 with a lot of uncertainties, even aunty Ada that posts new year, new me is quiet this year. It's not our fault, we went all out in December, and we are back to real life in January.

On the export side, its oil oil oil responsible for 85% of export with diversified Agric accounting for less than 10% because let's be frank, we don't produce anything.

For a country that doesn't produce anything and consumes everything, how can it effectively participate in commerce and trade? It's not by having DG sha, although we are proud of Mummy Ngozi. I mean, even the rice in Kano is not enough for people in Kano. This is why we need to find other things to export; if COVID has shown us anything, we need to improve local production because the streets are not smiling.

Even for Nigeria, it's our usual vibes and inshallah, but we know inshallah, things will get better. Remember, in the last edition, sterling.ng/serious we discussed how important our markets are and how valuable they are for our culture. This time we go a step further by showing you how we think our economy can improve and attract the necessary investment from obodo through our local market and resources. It's our answer to the question of what we have apart from oil. We all know oil money is drying up, and on how our attempt at diversification is, let's just thank God for life.

2020 na Ment

2020 affected everything and everyone, but among the worst­hit is our trade sector, which shows a declining figure. Uncle Yemi Kale of NBS showed us that commerce declined significantly from January. Still, in order not to carry last, we decided to understand the full picture. By January 2020, COVID­19 had fully taken hold in China. The country is responsible for 32% of trade, and the ripple effect affected our commerce.

By March, our commercial capital went on lockdown, causing a further decline in the sector. We also started asking ourselves what exactly we are buying from China sef. To understand that, we took a look at our export and import properly; while much of Uncle Godwin's FX policies have focused on food importation, import statistics show that Machinery and Chemical Products accounted for 55% of total imports in Q3. In comparison, all the food we imported only accounted for 15% of the total import and guess who is supplying us, the Chinese.

Keys to the Kingdom

One area the government can encourage and support more is the entertainment industry. Now before we shut this out as child's play, let's look at the numbers. Because the world is changing, we at Serious also believe export is changing, and we need to start looking at what else to trade as a country. What can we invest in that would give quick wins?

Our first thought is the creative industry.

This sector finished the year at an annual growth of more than 9%, making it one of the fastest­growing sectors. We heard that Apple music pays Nigerian artistes $7,350 for a million streams.

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Wahala Be Like Bicycle - Pascolo

With the quality of music produced in the country and the number of albums released this year alone, you can imagine the millions our artists made. Let's not even add other platforms like Spotify and Tidal ($10,000 per million streams), and this is just a fraction of the opportunity in the music industry.

Now imagine if we add our other creative sectors like movies, art, and fashion. We really need Dollars and the creative industry got us. It means with the right support and shikini money, our creative exports could significantly increase and improve our balance of trade.

Abroad Pipu

If the protests showed us anything, it's that japa japa is more than a song. It is estimated that over 30 million Nigerians live outside Nigeria, with the figures expected to hit 50 million by 2030. A lot of these people often seek greener pastures and end up doing well for themselves. A recent independent study shows 83% of Nigerians in the abroad will invest in Nigeria if the right business opportunity is created. It is why the first Diaspora bond back in 2017 was fully subscribed. With Uncle Godwin easing policies on diaspora remittance, it would be interesting to see how important this is for us in the new year.

For the People

Another area we have a comparative advantage is the cost of labour we can give. Our minimum wage of $62 is among the lowest, especially for the size of our working population. Our market is also viable even though it's a sachet economy.

Unfortunately, the cost of industry is high. Improving ease of doing business will include providing the necessary infrastructure and providing the right environment for small businesses to thrive. From the issue of documentation to task to honouring legal contracts, if the country can focus on its ease of doing business index like a certain land of honour and integrity, we can show the world our seriousness and improve business conditions for indigenous businesses.

If E Easy, Do Am

We are just thinking out loud ni oo, we know it's not easy, and we understand that the Ogas at the top are doing their best. For this year, we need any positive growth anywhere we can find it, especially as the world begins to open again. We owe it to all the lives lost in 2020 to survive and grow; we owe it to our country to do our best to improve it.

Inshallah, Nigeria will be great o.

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I hope you enjoyed being ‘Serious.’ Stay safe in 2021