Akintunde Oyedokun
Research Analyst
Oil prices fell on Monday after President Donald Trump’s second-term inauguration, where he declared a national energy emergency and pledged to fill strategic reserves and expand energy exports globally. Brent crude fell 0.8% to $80.15, while WTI dropped 1.7% to $76.58.
Trump aims to expedite energy projects, end LNG export restrictions, and overhaul trade systems, with Alaska central to his energy strategy. Analysts noted sanctions on Russian oil and Middle East ceasefires as additional price factors. Putin expressed openness to U.S. dialogue, while Middle East tensions eased with a Gaza ceasefire.
Russia’s 2024 Budget Deficit Hits 3.49tr Roubles Amid Rising Expenditures
Russia’s 2024 budget deficit reached 3.49 trillion roubles ($34.4 billion), driven by a 24.2% increase in spending to 40.19 trillion roubles, the finance ministry reported. Revenues also rose 26% to 36.71 trillion roubles.
The deficit narrowed to 1.7% of GDP from 1.9% in 2023 but exceeded the planned 0.9%. Excluding oil and gas revenues, the shortfall expanded to 7.3% of GDP.
A sharp December spending hike of 7.15 trillion roubles included pre-allocations for 2025. Moscow projects 2025 spending at 41.47 trillion roubles, with 41% earmarked for defense and security, while targeting a deficit reduction to 0.5% of GDP.
Bank of Japan To Raise Interest Rates Amid Global, Domestic Uncertainties
The Bank of Japan is expected to raise its policy rate to 0.5% on Friday, marking the highest level since the 2008 financial crisis. This move underscores the central bank’s commitment to gradually normalizing monetary policy and sustaining its 2% inflation target.
With inflation exceeding the BOJ’s goal for nearly three years and wage growth improving, Governor Kazuo Ueda has signaled the need for tighter policy. However, concerns linger over potential market volatility from U.S. President-elect Donald Trump’s policies and Japan’s political challenges.
The BOJ aims to carefully manage the transition, learning from past rate hikes that sparked economic turmoil and political criticism. Markets now look to Ueda’s post-meeting comments for clues on future rate increase.
Tanzania Confirms Marburg Virus Outbreak, Identifies One Case
Tanzania’s President Samia Suluhu Hassan confirmed a Marburg virus outbreak in the northwest, with one case confirmed following tests in Kagera. Despite earlier denials, the health ministry acknowledged the outbreak after WHO reports of eight deaths linked to the virus. Marburg, with symptoms resembling Ebola, has a fatality rate up to 88%. A rapid response team is addressing the situation, and the WHO has allocated $3 million to aid containment efforts. This marks the second Marburg outbreak in Kagera, following a similar incident in 2023.
Lagos State Rakes $71.6m Revenue From December 2024 Festivities
Nigeria’s Lagos State Government says it generated $71.6m in revenue during the December 2024 festive season, with hotels contributing the bulk $44m and short-let apartments adding $13m. This highlights the city’s dominance as Africa’s tourism and entertainment hub. The success of the “Detty December” season, featuring major events like Greater Lagos Fiesta and Rhythm Unplugged, underlines the economic and cultural impact of tourism. The Lagos State Government’s commitment to the sector’s growth is set to drive future initiatives, including the 2025 “Lagos Tourism is Rising” campaign.
