The ambition of the Nigeria Securities And Exchange Commission is clear and simple,to boost the value of the NSE to a trillion dollars by the end of 2016.

How do they achieve that ? Through a series of measures and rules:

-Listing of the NSE itself  to help the value of the exchange

-Requiring all companies to disclose financial information on their website ( a good example is First Bank ).

-To encourage expansion of the fixed income market.Nigeria central Bank has already hiked  the rates on fixed income securities and cut taxes.

-To push pension funds towards stock investments which are limited to a total of 12 billion dollars so far.

-To combat risk averse attitude among local retail investors by producing ,with Nollywood film directors ,TV shows that promote a certain business attitude.

-Introduction of a new code of corporate governance

New listing of companies could also  bring in that new blood so much needed to move towards the goal.

The state oil company is expected to float its joint venture companies on the NSE,the same move is expected in the power industry where some 19 new electricitygeneration and distribution companies are expected to attempt to raise the 50 billion dollars investment capital required on the NSE.

Other companies wished to list on the NSE include, Shell,Exxon and MTN Nigeria.

Nigeria stock market quick profile

Capitalisation of about 40 billion dollars

217 companies listed on the NSE

Five million Nigerians out of a population of 165 million are shareholders

|Source rinted version of The Africa Report |

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