The Nigerian capital market’s low participation rate has been deemed unacceptable by Alhaji (Dr.) Umaru Kwairanga, Chairman of the Nigerian Exchange Group Plc.
Speaking in Lagos, Kwairanga highlighted the disconnect between the nation’s population of over 200 million and the limited number of active investors.
“It is unacceptable that, until recently, we had fewer than 100,000 active investors in a nation of this size,” Kwairanga said.
He credited recent advancements in technology and strategic partnerships with the Securities and Exchange Commission and other market players for driving exponential growth in investor participation over the past six months— growth that surpassed progress achieved in the preceding two decades.
Kwairanga emphasised the need to align the market with the preferences of Nigeria’s tech-savvy younger generation, who favor digital solutions over traditional, paper-based processes.
“Nigeria has emerged as a global hub for Bitcoin, blockchain, and other cutting-edge technologies.
To engage our youth, we are investing heavily in the digital platforms they use,” he added. One such initiative is NGX Invest, a digital platform designed to simplify access to public offerings and rights issues.
Since its launch, NGX Invest has facilitated over N1.26 trillion in capitalraising efforts by major banks, including FBN Holdings, Zenith Bank, GTCO, FCMB Group, and Access Bank.
Kwairanga asserted that such innovations reinforce transparency, efficiency, and investor confidence, enabling the market to serve as a bridge between issuers and investors. However, regulatory hurdles persist.
Kwairanga called on the Central Bank of Nigeria (CBN) to streamline cumbersome verification processes, which currently hinder investor access during market opportunities.
“Verification is essential but should not obstruct timely participation. When prices surge, investors must be able to act swiftly to take advantage of price gains,” he noted.
Addressing journalists, Kwairanga underscored the critical role of accurate reporting in fostering market growth. “In an era of rapid misinformation, your responsibility to deliver precise, contextualised information is paramount.
High-quality journalism builds trust, informs decisions, and safeguards market credibility,” he said, urging reporters to uphold the highest professional standards.