Stock market helped government, companies raise N3.85trn in 2023, says NGX

Jude Chiemeka, acting chief executive officer (CEO), Nigerian Exchange Limited (NGX), says the stock market helped government and corporate entities to raise over N3.85 trillion to finance various projects.

Chiemeka spoke in an interview with NAN on Friday.

Providing an insight on the contributions made by the NGX in 2023, Chiemeka said the figure demonstrates the pivotal role of the stock market in enabling capital formation and investment in the economy.

He said the substantial tax contributions made by the top five listed companies amounted to over N362 billion to the federal government, with N962 billion paid as dividends.

“Our market continued to be resilient in providing stakeholders with a platform to raise capital and invest,” Chiemeka said.

“Year to date, NGX has facilitated needed financing of more than N3.85 trillion in capital raised by governments and corporates across various asset classes.

“We remain committed to assisting issuers derive great value from their interactions with the market, by positioning ourselves as the African Exchange of choice.

“We will continue to adopt rules, aimed at improving the corporate governance of our listed firms. 

“We also offer products and services that are tailored to the needs of investors in a fair and orderly market.”

He also said the record showed the positive impact of the stock market on government revenue and shareholder returns.

On the resilience and reliability of the NGX, Chiemeka said investment opportunities provided by the exchange are diverse.

These, Chiemeka said, include equities, fixed income, derivatives, and other exchange-traded products (ETPs) like mutual funds and exchange-traded funds (ETFs).

He said this signifies the NGX’s commitment to offering a robust and efficient platform for investors across various asset classes.

Chiemeka further said the market’s role in long-term investing and innovation reflects the exchange’s dedication to fostering a dynamic and responsive capital market.

He said the investments in technology by NGX are aimed at ensuring a seamless and uninterrupted transaction experience for investors and underscore the exchange’s commitment to operational excellence and customer satisfaction.

The acting CEO explained that, following returns recorded by the market in the last five years, the NGX remains a dependable platform for investors.

“We have continued our advocacy efforts with the Nigerian government on behalf of our listed corporates on tax reforms, prioritisation of foreign exchange allocation and stakeholder engagement,” he said.

Chiemeka said NGX’s support for listed companies extends to enhancing investor and customer understanding of the unique benefits and added assurance associated with investing in such companies.