Stockbrokers Push for Reforms to Unlock Capital Market & Power Nigeria’s $1 Trillion Economy

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Olori Uwem

Well-Known Member
Mar 18, 2024
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Stockbrokers Push for Reforms to Unlock Capital Market & Power Nigeria’s $1 Trillion Economy

Nigeria’s march towards a $1 trillion economy will not be possible without urgent reforms in the capital market, according to the Chartered Institute of Stockbrokers (CIS).

This was the key takeaway from a one-day workshop held at the State House Conference Centre, Aso Rock Villa, Abuja, themed:
“Capital Formation in Nigeria: Empowering Industry, Institutions, and Markets to Drive a $1 Trillion Economy.”

Key Highlights from the Workshop
• Capital Market as Growth Engine: Stockbrokers urged the Federal Government to reposition the capital market as a central driver of economic growth.
• Need for Strategic Coordination: The communiqué emphasized that harmonising fiscal, trade, and monetary policies is essential for achieving sustainable capital formation.
• Institutional Weakness: Despite reforms, Nigeria’s weak institutions, inconsistent policies, and underdeveloped financial markets continue to limit capital mobilisation.
• Joint Call: The communiqué was signed by CIS President Oluropo Dada and Registrar/CEO Ayorinde Adeonipekun, underscoring a united front for urgent reform.

️ SEC’s Perspective: Transparency is Non-Negotiable

At a related stakeholder engagement, Dr. Emomotimi Agama, DG of the Securities and Exchange Commission (SEC), stressed the vital role of transparency and accountability in building investor confidence.
• He linked strong internal control over financial reporting (ICFR) with market stability and long-term trust.
• Agama emphasized that internal controls are not just “technical requirements” but pillars of disclosure, governance, and integrity.
• Without them, the market risks erosion of trust, heightened systemic risk, and reduced investor participation.

Why This Matters for Investors
1. Capital market depth = economic resilience → Without deeper reforms, Nigeria’s $1T dream may face bottlenecks.
2. Investor confidence hinges on trust → Strong internal controls, transparency, and accountability will determine whether both local and foreign investors see Nigeria as a safe destination.
3. Opportunities ahead → If reforms are properly executed, sectors like infrastructure, agriculture, and technology could witness massive capital inflows.

⚖️ Bottom Line

The call from stockbrokers and SEC leadership is clear:
Nigeria’s economic aspirations will remain a dream unless reforms, accountability, and transparency are prioritized.
A robust and trustworthy capital market is the backbone of attracting investments needed to drive sustainable growth.