SEC seeks to boost NGX listings with state-owned enterprises

Business a.m.

The Securities and Exchange Commission (SEC) has urged government agencies and state-owned enterprises to list on the Nigerian Exchange Ltd (NGX).

Emomotimi Agama, the director-general of the Securities and Exchange Commission, in a recent interview with news outlets in Abuja, emphasised the importance of such listings for deepening the nation’s financial markets and enhancing liquidity and transparency.

Agama, underscored the potential benefits of listing on the Nigerian Exchange Ltd (NGX), stating that such listings would help to democratise the operations of state-owned enterprises (SOEs).

According to Agama, listing on the NGX could increase transparency and inclusiveness, ultimately providing an avenue for wealth creation and economic empowerment among Nigerian citizens. 

He further indicated that the SEC is prepared to offer incentives to motivate SOEs to take advantage of this opportunity and list on the stock exchange.

The SEC DG stressed the commission’s dedication to fostering market inclusivity through technological innovation. He emphasised that by harnessing the power of technology, the capital market would become more appealing, especially to younger investors.

“We support the use of apps and fintech tools, and we backed the inauguration of the electronic offering platform at the Nigerian Exchange,” he stated.

Agama underscored the importance of attracting qualified individuals to the investment process, aiming to revolutionise the investment experience in Nigeria.

He emphasised that the SEC would prioritise removing common obstacles that hamper investment, with the ultimate goal of breathing new life into the capital market.

The Securities and Exchange Commission (SEC) had earlier endorsed the Nigerian Exchange Limited’s initiative to launch the Impact Board, a platform designed to facilitate the listing and visibility of sustainability-oriented financial instruments.

According to Agama, the NGX Impact Board was established with the primary objective of fostering the growth of green finance, addressing climate change, and advancing sustainable economic practices.