Oando Plc has announced plans to raise up to N500 billion in new capital as part of a sweeping financial restructuring and strategic growth plan aimed at strengthening its balance sheet and expanding its operations.

The Nigerian energy firm disclosed this in a notice filed with the Nigerian Exchange Limited (NGX) on Monday, July 21, ahead of its 46th Annual General Meeting slated for August 11.

Signed by Ayotola Jagun, the company secretary, the notice revealed that Oando intends to issue up to 10 billion new ordinary shares of 50 kobo each. These will be floated through public offerings, private placements, rights issues, or debt-to-equity conversions — depending on the route the company’s board chooses in line with market conditions and investor sentiment.

According to the document, the capital raise may be conducted in both local and international markets. The company said it would be authorized to “raise additional capital of up to N500 billion or its foreign currency equivalent… at price(s) determined through book building or any other acceptable valuation method.” The process is subject to regulatory approvals.

As part of the broader financing strategy, Oando’s board is also seeking shareholders’ approval to convert up to $300 million of its Reserve-Based Lending (RBL) debt into equity. The company is targeting key stakeholders and lenders as part of this planned conversion, further emphasizing efforts to ease its debt burden and improve liquidity.

In a related move, Oando plans to establish a multi-instrument issuance programme worth up to $1.5 billion, enabling it to issue bonds, certificates, or other financial instruments. The goal is to diversify funding sources and provide flexibility in executing future capital raises.

The company added that it may absorb surplus funds from any oversubscription that results from the issuance, provided it complies with regulatory limits and approvals.

Financial Position and Stock Performance

Oando’s restructuring comes at a pivotal moment for the company. On Monday, its share price traded at N50.00, marking a 0.50 naira or 0.99 percent drop from the previous trading session. Over the past month, the stock has lost 20.89 percent in value, reflecting market caution amid broader volatility.

However, the long-term outlook remains robust — the stock has surged by 184.09 percent over the past year, according to data from Trading Economics.

Forecasts suggest that Oando may face short-term headwinds. Analysts project the share price will ease to N49.94 by the end of the current quarter and dip slightly to N48.31 within a year. Still, analysts believe the restructuring and recent acquisitions could improve the company’s fundamentals going forward.

Recent Acquisition and Segment Focus

The capital raise follows Oando’s landmark acquisition of a 100 percent stake in Nigerian Agip Oil Company (NAOC) from Italian energy giant Eni in August 2024. The deal gives Oando full control of key assets and is expected to significantly boost its production capacity and reserves.

Oando Plc operates as a fully integrated energy solutions provider in Nigeria and across the West African region. Its operations are divided into four major segments: Exploration and Production (E&P), Supply and Trading, Gas and Power, and Corporate & Others. The E&P arm handles upstream operations — including oil exploration and production — through rights acquired in blocks located both onshore and offshore Nigeria.

The company says the capital injection will allow it to optimize existing operations and drive new investments across its supply chain — particularly in upstream assets, midstream infrastructure, and trading capacities.

Oando is positioning itself for more aggressive growth despite uncertainties in global oil markets and domestic economic headwinds by converting part of its debt to equity and establishing a large-scale multi-instrument programme. If successfully executed, the move is expected to place the company among the most financially agile indigenous energy players in sub-Saharan Africa.

The company emphasized that its board will be empowered to “enter into any agreements and/or execute any documents, appoint such professional parties, perform all such other acts and do all such other things” to facilitate the capital raise, subject to regulatory clearance.

Yahoo Japan has ordered its 11,000 employees to begin using generative artificial intelligence tools in their daily tasks, making AI use not just encouraged, but compulsory.

The policy, which covers a wide range of office functions including document creation, search, research, communications, and meeting logistics, is part of a company-wide effort to double worker productivity by 2028.

The Japanese tech giant, which operates the Line messaging app and a number of other web services, says workers spend nearly 30% of their time on routine tasks—time it believes can be significantly cut with AI. For now, Yahoo Japan is relying on its in-house AI tool, SeekAI, already being used to handle expense reimbursement and prompt generation. That tool, and others, will now be deployed more broadly for proofreading, writing, planning, and communications.

This bold move, first reported by PC Watch, reflects a growing trend in the corporate world, where AI is no longer just an enhancement tool but a central expectation of employee workflow. Earlier this year, Shopify CEO Tobi Lütke issued a similar directive to his employees, declaring that AI use was now a “baseline expectation.” Teams were told not to request additional headcount or resources without first demonstrating that AI couldn’t achieve the desired result.

The Productivity Question

Companies betting heavily on generative AI believe it can act as a powerful productivity multiplier. Tasks that previously took hours can be compressed into minutes using large language models. This automation of mundane functions, they argue, frees workers to focus on high-level, strategic, or creative assignments.

But emerging data and workplace experiences tell a more complicated story.

Multiple studies have shown that AI does not always improve productivity—and in some cases, it can do the opposite. A recent report involving professional software engineers found that developers took 19% longer to complete tasks when using AI tools. Other studies from last year found that AI use often resulted in slower work speeds, particularly in knowledge-heavy fields that rely on depth and accuracy.

Call center workers in particular have complained that AI assistants—designed to make support calls smoother and faster—often disrupt workflow by giving incomplete or incorrect suggestions. In those environments, the result was increased frustration and a drop in performance.

Amazon warehouse and tech workers have raised similar concerns, describing AI-driven expectations as “relentless,” creating pressure to maintain continuous output at the expense of creativity and worker well-being.

AI’s Effect on Critical Thinking

One of the core concerns among analysts and educators is that over-reliance on AI in everyday tasks could degrade critical thinking and problem-solving abilities over time. With machines generating summaries, conclusions, and even proposals, some fear employees will be less inclined—or less able—to challenge assumptions, apply deep reasoning, or innovate on their own.

Despite these concerns, business leaders and tech executives continue to advocate for AI adoption. Nvidia CEO Jensen Huang, whose company dominates the AI chip market, has repeatedly defended the use of AI tools in the workplace. Huang argues that rather than replacing thinking, AI helps amplify human capabilities—especially for those with limited expertise or access to tools. In his view, AI will “democratize” productivity, allowing more people to perform skilled tasks and accelerate their learning curve in complex industries.

“AI is not going to take your job,” Huang said. “But someone using AI will.”

The Unspoken Risks

What’s not yet clear in Yahoo Japan’s strategy is what happens if the ambitious productivity goals aren’t met. The company has not disclosed whether there are enforcement mechanisms or performance reviews tied to AI integration. And while the firm has stopped short of cutting staff, the rapid automation of basic functions raises questions about future workforce needs.

However, the message from Yahoo Japan is that the future of work lies with artificial intelligence, and employees are expected to embrace it as the new standard.

With just days to go before sweeping tariffs are set to take effect, U.S. Commerce Secretary Howard Lutnick says there is still a strong possibility of securing a trade agreement with the European Union, signaling cautious optimism despite growing global trade tensions.

In an interview on CBS’ Face the Nation on Sunday, Lutnick said he had just spoken with EU trade negotiators and believes there is “plenty of room” to strike a deal before the August 1 deadline set by President Donald Trump.

“These are the two biggest trading partners in the world, talking to each other. We’ll get a deal done. I am confident we’ll get a deal done,” he said.

However, he emphasized that the August 1 date remains a “hard deadline,” after which new tariffs will automatically kick in if no agreement is reached.

“Nothing stops countries from talking to us after August 1, but they’re going to start paying the tariffs on August 1,” Lutnick warned.

Trump’s Tariff Ultimatum

On July 12, President Trump announced a sweeping plan to impose tariffs on several major U.S. trading partners, including the European Union and Mexico. The proposed levies include a 30% tariff on most EU and Mexican imports, as well as blanket tariffs ranging from 20% to 50% on other nations like Japan, Brazil, and Canada. The president also threatened a steep 50% tariff on imported copper.

In a formal letter addressed to European Commission President Ursula von der Leyen and similar communications to other leaders, Trump outlined his administration’s intent to rebalance what he described as “deeply unfair” trading relationships. He accused some partners of exploiting U.S. markets and failing to match America’s openness with reciprocal treatment.

Trump’s move comes amid mounting frustration over the slow pace of trade negotiations and growing concerns about the U.S. manufacturing sector, which has struggled to regain momentum despite the administration’s earlier tariff rollbacks.

Pressure on the EU

While the European Commission has not publicly disclosed the details of ongoing talks, sources in Brussels told Politico Europe that officials are working around the clock to broker a temporary understanding before the deadline. European leaders are particularly concerned about the potential fallout of tariffs on the automotive, agricultural, and aerospace sectors — all of which would be significantly affected if the U.S. measures go into effect.

Some EU members are also pressing for the bloc to prepare retaliatory tariffs should Trump follow through. Germany, in particular, which relies heavily on car exports to the U.S., is reportedly urging a more conciliatory approach to avoid an escalation that could harm its already weakened economy.

USMCA May Also Be Reopened

In a notable shift, Lutnick also indicated that Trump plans to reopen the United States-Mexico-Canada Agreement (USMCA), the signature trade deal from his first term. Although the agreement currently exempts most North American goods from tariffs, Lutnick suggested a renegotiation could begin “a year from today.”

Lutnick said the president is absolutely going to renegotiate USMCA without providing further details on what changes the administration may seek. While goods currently compliant with USMCA rules of origin are exempt from the looming tariffs, that protection could be short-lived if Washington reopens the pact.

Bracing for the Potential Impacts

Wall Street and industry leaders have warned that a new wave of tariffs could deliver a major blow to global markets. Analysts at Goldman Sachs noted in a research note that increased duties could stoke inflation and disrupt supply chains already strained by post-pandemic dislocations and geopolitical conflicts.

The U.S. Chamber of Commerce has urged the administration to delay the implementation of tariffs, arguing that “negotiations should not be conducted under threat.” Meanwhile, European business associations say the uncertainty is already affecting investment decisions.

Despite the warnings, Lutnick insisted that Trump’s tough stance is already bearing fruit. He had emphasized the president’s belief in using leverage, noting that it’s working and countries are back at the table.

With time running out, the coming days could determine whether the U.S. and EU can salvage a deal or whether the global economy will be plunged into another trade war. If no agreement is reached by August 1, many European goods entering U.S. ports will be subject to steep duties, potentially setting off a retaliatory cycle with wide-ranging economic consequences.

However, Lutnick’s optimism, though reassuring to some, does little to calm the nerves of exporters and manufacturers who now face the prospect of higher costs, delayed shipments, and possible job cuts if the tariffs go into effect.

Nigeria’s Gross Domestic Product (GDP) rose by 3.13% year-on-year in real terms during the first quarter of 2025, marking a notable rebound from the 2.27% growth recorded in Q1 2024.

This is according to the latest report released by the National Bureau of Statistics (NBS), which attributes the improved performance to the strength of the services and industry sectors, as well as a broader recalibration of national accounts.

In nominal terms, the economy expanded to N94.05 trillion in Q1 2025, up from N79.51 trillion in the same quarter of 2024, representing a year-on-year increase of 18.30%.

The Q1 2025 data is the first GDP report issued following the successful rebasing of Nigeria’s national accounts from a 2010 base year to 2019. The rebasing exercise, which economists say was long overdue, aligns Nigeria’s GDP calculations with more current economic realities and ensures better measurement of emerging industries such as digital services and creative sectors.

Services Sector Anchors Growth

The services sector maintained its dominance, growing by 4.33% in real terms and accounting for 57.50% of total GDP. Telecommunications and Information Services stood out, growing by 7.40% and contributing 10.59% to real GDP—an increase from 10.17% in Q1 2024. The sector’s performance reflects the ongoing digital shift across various parts of the economy, from financial services to education and media.

Finance and Insurance also delivered a robust performance, expanding by 15.03% year-on-year. This was largely driven by fintech innovations, rising digital adoption, and deeper financial inclusion efforts that have widened access to formal banking. The sector’s efficiency has improved with technology-backed customer onboarding and transaction processing, which analysts say is also reshaping the labor structure in banking.

Trade, Transportation, and Real Estate were also solid contributors. The trade sector grew by 1.78%, accounting for 18.21% of GDP. Transportation, one of the fastest-growing segments in the quarter, jumped by 14.08%, lifted by improvements across road, rail, air, water, and pipeline transport. Real estate posted 4.61% growth, reflecting a mix of ongoing commercial property projects and residential demand.

Industrial Output Rises, Oil Sector Slows

The industry sector grew by 3.42% year-on-year, improving on the 2.35% posted in Q1 2024. Within this, oil production averaged 1.62 million barrels per day (mbpd), slightly higher than the 1.57 mbpd produced in Q1 2024. However, real GDP growth in the oil sector dropped to 1.87%, down sharply from 4.71% in the corresponding quarter last year. Its share of the economy declined marginally to 3.97% from 4.02%.

Manufacturing, meanwhile, showed signs of stability and gradual rebound. It grew by 1.69% in real terms, supported by sub-sectors such as Food, Beverage, and Tobacco (3.48%), Cement (4.94%), and Pharmaceuticals (5.33%). The manufacturing sector contributed 9.62% to GDP, a reflection of ongoing industrial recovery despite cost pressures tied to energy and foreign exchange.

The construction industry recorded 6.21% growth, driven by infrastructure investments and increased activity in both private and public sector building projects.

Agriculture Still Trails Behind

Agriculture, which employs the largest share of Nigeria’s working population, remained the weakest of the three major sectors. It grew by just 0.07% in real terms, an improvement from the -1.79% contraction in Q1 2024, but still far below expectations. Crop production rose 3.71%, but livestock, forestry, and fishing delivered weaker or mixed results. Security challenges in key agricultural zones, poor mechanization, and post-harvest losses continue to limit the sector’s growth.

In nominal terms, agriculture contributed 19.40% to GDP, down from 20.86% a year earlier, underscoring its declining weight in the country’s overall economic mix.

Emerging Sectors Register Strong Gains

Several niche sectors recorded significant real growth, signaling ongoing structural transformation in the economy. The Electricity, Gas, Steam, and Air Conditioning Supply sector grew by a staggering 18.65%, up from just 2.49% in Q1 2024. This jump may be partly attributed to improved power generation and gas supply activities under the government’s energy reforms.

Water Supply, Sewerage, and Waste Management grew 9.43%, while the Arts, Entertainment and Recreation sector expanded by 9.63%, reflecting the global rise of Nigerian music, film, and gaming industries.

Accommodation and Food Services also advanced by 2.65%, while Public Administration recorded a modest 1.83% growth.

On the downside, Other Services contracted sharply by 6.13%, and Professional, Scientific and Technical Services slowed to 2.53%, from 5.71% in Q1 2024. The latter’s decline may reflect broader global debates around the impact of Artificial Intelligence on white-collar productivity.

Broader Economic Outlook

The Q1 2025 GDP performance underscores a cautiously optimistic economic trajectory, despite concerns about inflation, interest rates, and public sector borrowing. Analysts believe the rebasing offers a more accurate window into Nigeria’s evolving economy, and that the strong performance in services and industry gives policymakers a clearer path to foster growth.

However, with agriculture lagging and oil underperforming, long-term structural reforms remain vital to achieving inclusive growth. There are also broader calls for fiscal and monetary coordination to tackle rising unemployment and ensure that the gains in GDP translate to tangible improvements in household income and welfare.