The Group Managing Director and Chief Executive Officer, of Nigerian Exchange Group Plc, Mr Temi Popoola have said that the Exchange is working with the regulator to review its listing rules aligning them with global markets such as London to attract a more diverse array of businesses to the Exchange.
Popoola stated this whilst addressing leaders of exchanges from across the globe at the working group committee meeting of the World Federation of Exchanges hosted by Deutsche Boerse in Frankfurt Germany.
In a press statement obtained by Nairametrics, he noted that the Exchange strategy also involves deeper intentionality to collaborate with the government in enhancing listing incentives.
Companies in government procurement processes
According to him. a prime example is the prioritization of listed companies in government procurement processes.
- “Recognizing the importance of government advocacy historically, our strategy involves deeper intentionality to collaborate with the government in enhancing listing incentives.
- A prime example is the prioritization of listed companies in government procurement processes.
- Also, working with the regulator, we intend to review our listing rules aligning them with markets such as London to attract a more diverse array of businesses to the Exchange,” he said.
The GMD/CEO also spoke on the investments in technology under which he stated that the Group is exploring deepening data revenue generation and engaging market infrastructure stakeholders from the CCPs to the CSDs in meaningful API conversations to further strengthen agility.
Other various plans by the exchange group
He highlighted other various plans by the exchange group to revamp its technology infrastructure, attract listings, and enhance retail investors’ participation and foreign capital inflows.
Speaking on attracting retail investors to the market, the GMD/CEO said:
- “We recognize the stark contrast between the investors currently engaged in the capital market and the vast potential represented by the 65 million banking accounts in Nigeria. Our vision is to bridge this divide, onboarding millions into the capital market and fostering financial inclusion on an unprecedented scale.”
High-interest rate environment
The difficulty of attracting listings and foreign capital inflows, common in emerging markets, was also discussed. CEOs from exchanges in Kenya and Egypt echoed similar challenges faced in Nigeria, with factors like high interest rates in the United States limiting capital flow to riskier markets.
Popoola noted that the high-interest rate environment in the United States contributes to the localization of capital in the country, hence starving other riskier markets of the needed capital.
- “After navigating a challenging eight years with the previous administration, we now find ourselves under a more pro-market leadership.
- This shift positions NGX for renewed growth and resilience in the evolving economic landscape,” said Popoola.
