E-Financial
FXTM Analysis: FXTM June Major Assets Roundup

Pushed to the cliff’s edge over the last six months of speculation and negative sentiment, the GBPUSD finally toppled off the verge on June 24th, the day after the Brexit vote was confirmed.
Plunging to levels last seen in 1985 during the ensuing panic sell-off, the GBPUSD fell to the level of 1.3234 from a high of 1.4974 earlier in the month.
Although the UK is not in the Eurozone, the implications of the wider European Union economic bloc without the UK partnership has also impacted heavily on the Euro.
The EURUSD fell from a high of1.135 mid-month to a low of 1.099 after the vote, while the GBPEUR dived steeply from a high of 1.3132 to a low of 1.1991. UK travellers are expected to find their Sterling cash worth much less across most major exchange rates, at the very least for the short-term.
The Gold price soared amid the uncertainty, taking off from $1260/ounce on June 23rd to over $1330 by June 24th. Investors stayed true to form during the market crisis, and rushed to buy up the safe-haven asset, while selling off the ones with higher risks.
Black gold – WTI Crude Oil – was also caught up in the sell-off, dropping to a low of $47/barrel from a high of $52 in the immediate aftermath of the Brexit shock.
The storm’s epicentre may have been the UK, but it spread fast and furiously across the world markets. Emerging market currencies suffered short-term wave crests in the storm before stabilising.
The USDIDR bucked from 13,333 to 13,550, throwing off the calming reins placed by Bank Indonesia’s new measures, namely an interest rate benchmark of 5.5 percent.
Due to the risk aversion in the markets and sudden loss of risk appetite following the unexpected shock from the EU referendum result, all of the emerging market currencies declined with this including the Indonesian Rupiah.
The reason was not too due to Brexit outcome having a direct impact on the local economy, but because reduced risk appetite encourages investors to be less attracted towards the emerging markets.
The local currency has since then regained losses, however it is possible that global economic uncertainty will linger for some time following this vote and this would mean there could be risk aversion in the markets at a later date.
The news of a possible tax cut is going to dominate the news locally within Indonesia, with the advantage to such an initiative being that the government is clearly trying to ease disposably income in the hope of higher domestic spending.
Of course and like the regular easing from the Bank Indonesia, these initiatives are targeted to improve domestic spending and GDP growth at a time where the economy is slowing down due to external risks.
The Ringgit blinked in shock as well. The USDMYR jumped from 3.9500 to 4.0900 in the immediate aftermath of the Brexit.
The volatility smoothed out somewhat thanks to Malaysian Prime Minister NajibRazak’s timely statement. The PM said that he did not expect that the Brexit would have a significant impact on the Malaysian economy, and that fiscal reforms would continue to be furthered.
The Malaysian Ringgit has been on a wild rollercoaster as of late, suffering steep losses as a result of the EU referendum shock to then regain all momentum around one week after the outcome. The EU referendum outcome is going to lead to a period of uncertainty in the markets that is likely to fuel risk aversion at a later stage, which in turn could negatively impact the Malaysian Ringgit.
It is still very difficult to pinpoint which direction the local currency is heading in next, and it should be remembered that the Federal Reserve have still not publically commented on how this could impact US interest rate policy.
The bright side to this is that if the Fed do postpone any possibility of future rate rises, then it might pull investors back towards the emerging markets where there is the benefit of higher interest rates.
The USDCNY was jolted from 6.5800 to 6.6900. It was to be expected that China’s currency could face challenges in the wake of the Brexit, but on the other hand, there is also speculation that China’s stock markets and larger business centres could gain some business if it starts flowing out of London.
The UK’s capital is expected to lose some power as a worldwide business and financial centre, mainly because of the gigantic tangle of legal and trading uncertainties presented by the Brexit.
The CNY is continuing to play down the expectations,as we believed it would do as the second half of the year approached.
The period of uncertainty now in the markets, following the EU referendum shock is going to plague risk appetite, which will be negative for the emerging markets and no EM is alone in withstanding this threat.
There are concerns in the short term that the China economy could be negatively impacted by the UK leaving the European Union, mainly because it is clear that the two governments have formed very close ties over the past two years and any loss of UK stability could impact the UK economy and its ability to maximize China relations.
The bright spot is however that the UK is now going to be forced to diversify trade relations outside of the EU, which is obviously going to present opportunities for the emerging markets because this is one area of the UK economy you would think would be reached out towards.
Obviously, if China has now developed strong relations with the UK then this could work out to their advantage at a later stage.
For the UAE’s Dirham, the main story was the GBPAED exchange rate, which fell from 5.5110 to 4.841 overnight just after the Brexit vote.
The ramifications could include cheaper exports from the UK to the UAE, but more barriers to travellers from the UK to GCC countries, given the stronger AED versus the Pound.
One possible benefit however is that the Brexit has triggered new impetus towards the idea of a free trade area between the UAE and the UK.
I think the plunge in the GBP exchange rate must be very pleasing news to any UK expatriate living in the Emirates right now. Of course, there is the positive aspect that any UAE company could now exploit and import products from the UK at a cheaper price, which might be encouraging to GDP prospects via higher imports at a time when GDP growth will be slipping lower due to depression in the price of oil.
I remain unsure how much further the GBP could fall against the AED in the medium term, not necessarily because there is any reason to be positive on the British currency, but because I don’t think the Federal Reserve are going to be in any position to begin raising US interest rates anytime soon. Any Dollar pressure is likely to lead to AED weakness, due to its peg against the USD.
Looking ahead to July, the market fallout from the Brexit vote is set to dominate, and risk appetite appears to be due for a diet of Gold and short-term profit-taking.
E-Financial
Edun, Finance Minister Inaugurates NDIC New Management

Mr Wale Edun, minister of Finance and coordinating minister of the Economy, has inaugurated Mr Thompson Oludare Sunday, new managing director/chief executive officer of the Nigeria Deposit Insurance Corporation (NDIC), and Dr Kabir Sabo Katata, executive director (Operations), at the Ministry of Finance, Abuja.

Mr Wale Edun, minister of Finance and coordinating minister of the Economy, flanked by Mr Thompson Oludare Sunday, new managing director/chief executive officer of the Nigeria Deposit Insurance Corporation (NDIC), and Dr Kabir Sabo Katata, executive director (Operations),
In his speech during the occasion, the Minister submitted that the NDIC, as a component of the financial safety-net has a crucial role to play in the nation’s march to economic stability and prosperity.
He therefore charged the Management team to bring their diverse wealth of experience to bear on their new assignment while assuring them of the ministry’s full support in the task ahead.
Responding, Mr Sunday who spoke on behalf of the Management team, expressed appreciation to His Excellency, President Bola Ahmed Tinubu for their appointment.
He assured the Hon Minister of the readiness of the Management under his leadership to live up to expectations of the President in particular and the nation in general in the discharge of their duties.
The Management later received by the Corporation’s Head Office with a warm welcome by the workforce.
A statement signed by Hawwau Gambo, head, Communication & Public Affairs Department, revealed that Addressing the workers on behalf the Management team, Mr. Sunday promised to work in harmony with the staff to move the Corporation to its next level performance.
He stressed that the Management’s focus would be based on the public policy objectives, functions and mandate devolved on the Corporation by the enabling law that established it.
Thompson Oludare Sunday is a seasoned financial expert with over 30 years of regulatory and supervisory experience.
Having cut his teeth with the Central Bank of Nigeria (CBN) in 1989, he went ahead to acquire high-end knowledge in Central Banking, spending 24 unbroken years in banking supervision.
While his vast experience is in the regulation and supervision of licensed institutions, his deep expertise span corporate governance, risk management and compliance as veritable tool for ensuring the safety and soundness of institutions.
He is a highly analytical and cross functional team worker with strong interest in building individual and institutional capacity for transformation and excellence.
Thompson’s skills and experience were horned by several key responsibilities and special assignments he handled for the apex Bank before his retirement as a Director 2021.
Kabir Sabo Katata, ED (Operations), is a quantitative energy strategist and computational finance expert with strong power trading and risk management experience.
He has over twenty-eight years’ experience in the design and management of technically innovative systems in multiple industries including telecommunications, IT, energy (petroleum & power), finance and government.
He is a specialist in sophisticated financial optimization, the application of modern statistical techniques and mathematics to energy, deposit insurance and banking sectors.
Dr. Katata joined the service of the Nigeria Deposit Insurance Corporation in 2012 as an Assistant Director in the Research, Policy and International Relations Department and rose to the pinnacle of his career as Director in January 2022, before his new appointment as Executive Director (Operations).
E-Financial
NIBBS: Banks Close 29.4m Accounts, Dormant Accounts Hit 33.39m

Banks in Nigeria closed 29.4 million accounts as of March 2025, according to the latest report by the Nigerian Interbank Settlement System (NIBSS).
The figure represents a sharp year-on-year increase of 30.43 per cent from the 22.54 million closed accounts recorded in March 2024.
It also reflects a steady rise in account closures over recent months, with 33.29 million closed accounts reported in February 2025 and 29.43 million in January.
The report also revealed a significant increase in dormant accounts, which surged to 33.39 million in March 2025, up from 19.79 million in the same period in 2024, a 71.3 per cent rise in inactive accounts over the past year.
Despite the spike in closures and dormant accounts, the number of active bank accounts rose from 219.64 million in March 2024 to 320.05 million in March 2025, representing an increase of over 100 million, or 45.7 per cent.
NIBSS defines a dormant account as one that has seen no deposit, withdrawal, transfer, or point-of-sale transaction for a period of six months.
The surge in account closures and dormancy follows the Central Bank of Nigeria’s directive issued in December 2023, mandating commercial banks to restrict Tier-1 accounts not linked to a Bank Verification Number (BVN) and National Identification Number (NIN) by March 1, 2024.
In response to the directive, BVN enrolment increased from 61.6 million in April 2024 to 66.23 million by July 2025, as more Nigerians rushed to meet the CBN’s compliance deadline.
E-Financial
Cardoso, CBN Boss Risks Arrest over Alleged N5.2 Trillion Unremitted Funds

The Joint Committee of the House of Representatives on Public Accounts and Public Assets has threatened to issue a warrant of arrest against Mr. Olayemi Cardoso, governor of the Central Bank of Nigeria (CBN), over repeated failure to honour its invitations regarding the probe into non-compliance with the Fiscal Responsibility Act 2007 and Finance Act 2020.

Olayemi Cardoso,, Gov, CBN
In a joint statement released on Friday and signed by Hon. Bamidele Salam and Hon. Ademorin Kuye, chairmen of the committees, the lawmakers decried the CBN governor’s continued disregard for legislative summons.
The committee is investigating the non-remittance of operating surplus as well as the mismanagement of unclaimed dividends and dormant account balances.
According to the committee, the Office of the Auditor General for the Federation reported a liability of N5.2 trillion in unremitted operating surplus due to the federal government from 2016 to 2022; a claim corroborated by the Fiscal Responsibility Commission in a separate submission to the National Assembly.
The committee cited provisions of the Finance Act 2020, which mandate that unclaimed dividends from publicly listed companies and dormant bank account balances older than six years be transferred into the Unclaimed Fund Trust Fund. The fund is to be managed by a Governing Council led by the Minister of Finance and the Debt Management Office (DMO).
Contrary to this, the CBN maintains that the Financial Institutions Act 2020 empowers it to manage dormant balances.
However, the committee noted that the Attorney General of the Federation has issued a legal opinion affirming that the Finance Act 2020 remains the valid law guiding the management of such funds.
Following extensive submissions, the committee resolved that the CBN must remit N3.64 trillion, representing 70% of the undisputed N5.2 trillion operating surplus, within 14 days from receipt of its June 27, 2025, directive, pending final reconciliation of the disputed amount.
Additionally, the apex bank was directed to submit a detailed report on the total sum of unclaimed dividends and dormant account balances by June 30, 2025.
The CBN was also ordered to transfer these funds into the Unclaimed Fund Trust Fund within 14 days and furnish the House with evidence of the transaction.
The lawmakers expressed frustration that, despite the clear directives and ample time, the CBN governor has failed to respond or appear before the joint committee to provide an explanation.
“In view of this continued defiance, the Committee will be compelled to exercise its constitutional powers to compel Mr. Olayemi Cardoso to appear before it,” the statement warned.
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