Capital Market in Nigeria to List N5 Trillion Worth of Sharia-Compliant Products in Three Years

Capital Market in Nigeria to List N5 Trillion Worth of Sharia-Compliant Products in Three Years

  • The Nigeria Security and Exchange Commission Director-General, Lamido Yuguda, said Sharia products would be listed on the stock exchange soon
  • He said about 50 instruments worth N5 trillion would be listed over three years
  • The plan, Yuguda said, is to attract institutional investors averse to conventional investment in the stock market

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About 5o Sharia-compliant products worth N5 trillion in market capitalisation are expected to be listed on the Nigerian Stock Exchange in the next three years.

The new move is in line with the revised edition of the Capital Market Masterplan of 2021 to 2025 launched recently by the Securities and Exchange Commission (SEC).

SEC, Capital market
Director-General of Securities and Exchange Commission, Lamido Yuguda Credit: SEC
Source: UGC

Plan targets one million investors

Lamido Yuguda, the Director-General of the Security and Exchange Commission, stated this at opening a three-day capacity-building workshop for local Shariah talent for the non-interest capital market at the SEC office in Abuja on Wednesday, December 7, 2022.

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Yuguda, who Dayo Obisan represented, highlighted the new targets for the non-interest capital market to include 100 per cent retail Sharia products, a projection of one million direct investors in Sharia-compliant products with at least N5 trillion investment by institutional investors in the products, among others.

The SEC DG said that with the new responsibilities, promoting capacity-building programmes has become imperative for the Capital Market.

Yuguda said the Commission set aside a part of its 10-year capital market masterplan for economic growth and development of the financial system.

Institutional investors to be attracted by the Masterplan

According to him, the master plan provides clear strategic objectives for accelerating the capital market.

The achievements witnessed by the Masterplan are clear by the rating of Nigerian Islamic Finance in the 13th position on the global Islamic Finance Development Indicator in 2021,.

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With assets under the Management valued at N20.3 billion, the investment is higher than countries like Bangladesh and Turkey, Yugida stated.

According to reports, The SEC boss said the move could attract an untapped investor base indifferent to conventional instruments to participate in the capital market and existing investors to diversify.

Otedola to sell shares of Its electricity company, Geregu Power, to Nigerians, adds N250bn to stock Exchange reported that billionaire Femi Otedola officially listed his electricity company, Geregu Power Plc, on the Nigerian exchange.

The development allows the public to become part owners by buying the company’s shares for N100 per share.

Geregu Power plc is one of Nigeria's major power generation companies (Genco), and Otedola has stated that it would be his primary business focus, BusinessDay reports.


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