The Nigerian Exchange Group (NGX Group) Plc and the Federal Government have reaffirmed their commitments towards strategic partnership on key developmental initiatives, with a view to channeling not less than $6 billion foreign investments into the Nigerian economy.
Foreign portfolio investors (FPIs) now account for more than one-third of transactions at the Nigerian Exchange (NGX), in a gradual build-up from less than one-tenth in recent past.
The Federal Ministry of Industry, Trade and Investment (FMITI) and the NGX Group are leading the collaborative efforts, which are expected to enhance inflow of much-needed capital into key sectors of agriculture, infrastructure, manufacturing, technology and energy among others.
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Minister of Industry, Trade and Investment (FMITI), Dr. Jumoke Oduwole met with the board and management of the NGX Group during a working visit to the Exchange in Lagos and highlighted the strategic importance of a robust partnership between the government and the Exchange.
Oduwole outlined FMITI’s ambitious target to facilitate $6 billion in foreign investment into Nigeria’s productive economy in 2025 while emphasizing the integral role of capital markets in driving economic resilience and sustainable growth.
She explained that the government, in partnership with the Exchange, expected to attract $3 billion in foreign direct investment (FDI) into key sectors of infrastructure, manufacturing, agribusiness, technology, and renewable energy among others.
FDIs rebounded to $2.6 billion by second quarter of 2024.
She added that another $3 billion would be mobilised through FPIs by leveraging innovative financial instruments like green bonds, diaspora-linked securities, and SME-focused platforms.
According to her, such investments in pivotal sectors would efforts aimed at creating jobs, promoting exports, and enhancing Nigeria’s productive capacity, while also deepening market liquidity and aligning capital flows with national priorities.
“Deepening Nigeria’s capital markets is fundamental to improving investment flows, creating jobs, and sustaining long-term economic resilience,” Oduwole said.
She outlined areas of strategic collaborations to include strategic listing of state-owned enterprises (SOEs) in order to unlock significant value, enhance transparency, and deepen market liquidity.
She said efforts were underway to establish a dedicated capital market platform for small businesses, providing access to funding, capacity-building programmes, and pathways for sustainable growth.
“Our collaboration represents a concerted approach to harnessing capital markets as transformative platforms for Nigeria’s economic development,” Oduwole said.
She outlined key focus areas to include expanding SME access to capital through NGX’s Growth Board initiatives, promoting green finance through ESG-linked products, mobilizing diaspora investment, and leveraging AfCFTA opportunities to nurture the next generation of high-growth Nigerian businesses.
As part of collaboration, the NGX Impact Board is set to mobilise capital for high-impact projects through instruments like green and sustainability bonds, supporting climate resilience and infrastructure development.
The NGX Group also emphasized its role as a gateway to capital markets, offering a robust platform for cross-border investments.
Chairman, Nigerian Exchange Group (NGX Group) Plc, Alhaji Umaru Kwairanga, said the Exchange was prepared to play catalytic roles in the development of the nation through partnership with both the private and public sectors.
“By fusing policy innovation with market infrastructure, we can catalyze a new era of sustainable growth and national development,” Kwairanga said.
He noted that as Nigeria advances toward its aspiration of a $1 trillion economy, capital markets serve as critical enablers for financing micro, small and medium enterprises (MSMEs), infrastructure projects, and sustainable initiatives.
“NGX Group remains committed to supporting this vision through innovative platforms that enhance transparency, connect businesses with capital, and foster inclusive economic growth,” Kwairanga said.
Group Managing Director, Nigerian Exchange Group (NGX Group) Plc, Temi Popoola, said the Exchange has continued to invest in technologies to keep the Nigerian market globally competitive.
“We are building a next-generation exchange ecosystem designed to democratize investment opportunities, enhance market liquidity, and position Nigeria as a competitive destination for both domestic and international capital,” Popoola said.
Chairman, Nigerian Exchange (NGX), Ahonsi Unuigbe highlighted the Exchange’s role as a catalyst for national development.
“Capital markets are powerful engines of innovation, business expansion, and economic inclusion, all of which are essential to advancing Nigeria’s industrialization objectives,” Unuigbe said.