Tinubu, NGX Group Advance Capital Market Agenda to Drive Nigeria’s $1 Trillion Economy
Tinubu Backs Capital Market Reforms to Accelerate Nigeria’s $1 Trillion Economy
President Bola Ahmed Tinubu and the Nigerian Exchange Group (NGX Group) have advanced plans to deepen Nigeria’s capital market and expand its role in financing businesses, infrastructure and productive sectors as the Federal Government pursues its target of building a $1 trillion economy.
The discussions took place during a high-level meeting between the President, NGX Group’s Board and Management, and members of the Economic Management Team at the Presidential Villa in Abuja on Thursday, August 6, 2026. NGX Group presented a roadmap focused on converting recent market growth into sustained capital formation and long-term investment.
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NGX market capitalisation rises to ₦160 trillion
According to NGX Group, the Nigerian capital market has recorded substantial growth over the past three years.
Market capitalisation increased from approximately ₦30 trillion in 2023 to ₦160 trillion, while the NGX All-Share Index rose from about 52,000 points to 244,000 points over the same period.
NGX Group also reported stronger trading activity, increased domestic participation and greater foreign portfolio investment, pointing to improved investor engagement with the Nigerian market.
President Tinubu commended the NGX Group and the Economic Management Team, attributing the market's progress to reforms aimed at improving macroeconomic stability and restoring investor confidence.
The development follows the administration's earlier engagement with the capital market. In August 2025, the Presidency said Tinubu had called for faster listing of major state-owned enterprises, including NNPC Limited, while supporting additional reforms to strengthen the market.
Tinubu backs private sector-led economic growth
Tinubu reiterated the administration's focus on private sector-led growth during the latest meeting, arguing that increased private investment could support broader economic expansion.
The President said the country's $1 trillion economic ambition remained achievable, citing Nigeria's population and the capacity of its people as important drivers of future growth.
He also disclosed that NNPC Limited would be reformed and listed on the capital market, reinforcing the administration's stated intention to use the capital market to mobilise investment and broaden public ownership of major enterprises.
A listing of NNPC would potentially create a significant avenue for domestic and international investors to participate in one of Nigeria's most important corporate assets, while also providing the company with access to market-based capital.
NGX proposes four priorities for deeper capital formation
NGX Group presented four strategic priorities aimed at increasing the contribution of the capital market to national development.
The proposals include:
Privatisation and listing of commercially viable government assets
Domestic or dual listings of leading Nigerian companies
Greater policy clarity on capital gains tax treatment for listed securities
Greater use of capital market instruments to finance infrastructure and industrial development
The proposals are designed to shift the market beyond secondary trading towards a stronger role in mobilising long-term capital for productive investment.
This distinction matters for Nigeria's development needs because deeper capital markets can provide businesses and public-sector projects with alternatives to traditional bank financing.
Capital market positioned as infrastructure financing channel
NGX Group said Nigeria's $1 trillion economic ambition would require deeper pools of domestic and international long-term capital.
The Group's Managing Director and Chief Executive Officer, Temi Popoola, said the priority should be to convert the market's recent performance into sustained capital formation, enterprise expansion, infrastructure development and broader wealth creation.
For the housing and construction sectors, stronger capital-market participation could create additional financing channels for large-scale infrastructure and property development.
Capital market instruments can support projects that require substantial upfront funding and have longer investment horizons. Greater institutional investment could therefore complement conventional mortgage finance, bank lending and government expenditure in sectors such as housing, transport infrastructure and urban development.
However, the extent of this benefit will depend on the availability of viable projects, credible issuers, transparent regulations and investor confidence.
Finance Minister calls for a $1 trillion capital market
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, described Nigeria's capital market as a major avenue for wealth creation and called on NGX and the Securities and Exchange Commission to target growing the market to $1 trillion.
He also urged the institutions to simplify the listing process and expand participation, particularly among younger Nigerians.
A larger and more accessible market could increase the ability of Nigerian companies to raise equity capital while providing individuals and institutional investors with more opportunities to participate in economic growth.
The emphasis on simplifying listings also addresses one of the structural challenges facing capital markets: ensuring that companies can access funding without excessive cost or administrative barriers.
Government asset listings could broaden investment opportunities
The proposed listing of commercially viable government-owned assets represents another important component of the agenda.
Government asset listings can introduce established businesses to wider pools of capital while allowing citizens and institutional investors to acquire stakes in companies that were previously primarily state-owned.
The Federal Government has previously expressed support for greater participation in the capital market. In 2025, Tinubu commended the NGX after its market capitalisation crossed the ₦100 trillion mark and urged Nigerians to deepen their investments in the domestic economy.
The latest discussions indicate that the administration wants to build on that market expansion by increasing the number and scale of companies using the capital market for long-term financing.
Implications for businesses and infrastructure
The proposed reforms could have wider implications for Nigerian businesses seeking to expand their operations.
A deeper equity market could reduce dependence on short-term or high-cost debt financing, particularly for companies with strong corporate governance and the scale required to attract institutional investors.
For infrastructure, increased use of capital market instruments could support projects requiring significant funding over extended periods. This could include transport, energy, industrial facilities and urban infrastructure that support housing delivery and economic activity.
The approach also aligns with NGX Group's broader argument that the capital market should function as national financial infrastructure rather than simply as a platform for buying and selling securities.
Outlook
The Federal Government's latest engagement with NGX Group places capital formation at the centre of its strategy for achieving a $1 trillion economy.
The increase in market capitalisation from approximately ₦30 trillion in 2023 to ₦160 trillion represents significant expansion, but sustaining that growth will require more than rising asset prices. The proposed listing of government assets, increased corporate listings, clearer tax rules and greater infrastructure financing through the capital market will test the market's ability to translate investment activity into productive economic expansion.
For Nigeria's housing, construction and infrastructure sectors, a deeper capital market could provide an important additional source of long-term funding. The immediate priority will be ensuring that the proposed reforms translate into investable projects, stronger corporate participation and accessible financing that supports productive capacity across the economy.
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