The Federal Government has unveiled plans to expand Nigeria’s capital market to N750 trillion, with the proposed listing of the Nigerian National Petroleum Company Limited (NNPCL) and Nigeria LNG Limited (NLNG) expected to attract more investors and deepen market activities.
Vice-President Kashim Shettima and the Minister of Finance, Taiwo Oyedele, disclosed the target on Monday in Abuja at the unveiling of the Nigerian Capital Market Master Plan 2.0, developed by the Securities and Exchange Commission (SEC).
Oyedele said Nigeria should work towards achieving a $1 trillion capital market within the next decade, noting that a market of that size would support the Federal Government’s ambition of building a $1 trillion economy by 2030.
He identified the proposed listing of selected government-owned enterprises, particularly NNPCL and NLNG, as a key step towards expanding investment opportunities and increasing participation in the capital market.
According to the minister, selling shares in the two energy companies to investors would strengthen market transparency, broaden public ownership of national assets and provide additional avenues for investment.
Oyedele also said the government would encourage more Nigerian businesses to list on the Nigerian Exchange Limited (NGX), adding that incentives would be used to attract companies to the market.
“We cannot force them. We would encourage Nigerian private businesses to list. We will use incentives to attract them,” he said.
Meanwhile, Shettima noted that Nigeria’s capital market had recorded significant growth since President Bola Tinubu assumed office in May 2023.
The government’s proposed expansion comes amid renewed activity on the NGX, following the launch of an initial public offering (IPO) by Dangote Refinery to raise funds for its expansion programmes.
The refinery, described as Africa’s largest, opened its share offer at N525 per share, targeting between $1.6bn and $2.1bn to finance its planned capacity expansion.
The deadline for the IPO was extended to October 27 after the offer’s launch on the NGX on September 14.
The Federal Government’s capital market plan is expected to focus on attracting more companies to the exchange, expanding investment opportunities and increasing the market’s capacity to mobilise long-term funding for economic growth.
