Stockbrokers call for urgent reforms to grow $1trn economy

Stockbrokers, under the banner of the Chartered Institute of Stockbrokers (CIS), have called on the Federal Government to initiate urgent economic reforms aimed at repositioning the Nigerian capital market as a key driver in achieving the country’s $1 trillion economy target. 

In the communique after a one-day workshop at the State House Conference Centre, Aso Rock Villa, Abuja, themed: “Capital Formation in Nigeria: Empowering Industry, Institutions, and Markets to Drive a $1 Trillion Economy,”  the Institute affirmed that while Nigeria’s ambition is achievable, it hinges on deliberate, coordinated actions to deepen capital formation across sectors. 

The workshop, which brought together key policymakers, industry leaders, financial experts, and market stakeholders to chart a practical course toward achieving Nigeria’s $1 trillion economic aspiration, highlighted both the notable progress made by the Federal Government and the critical structural challenges that persist, including weak institutions, inconsistent policy frameworks, and underdeveloped financial markets remain major impediments to capital mobilisation.

The communique, jointly signed by the Institute’s 13th President and Chairman of the Council and Registrar and Chief Executive, Oluropo Dada and Ayorinde Adeonipekun respectively, stated that: “The Federal Government must lead strategic coordination among market stakeholders to harmonise fiscal, trade, and monetary policies aimed at boosting investor confidence and attracting long-term capital. 

“Foreign Direct Investment (FDI) inflows remain volatile and below potential due to concerns around currency risk, regulatory unpredictability, and infrastructure gaps. Domestic capital mobilisation through pensions, insurance, and retail investor engagement remains underutilised for industrial financing. A vibrant capital market is essential to support

industrialisation, infrastructure development, and inclusive economic growth.  

“Integrating Nigeria’s informal sector into the formal economy could unlock significant domestic capital while expanding the tax base, and the economy is overly

dependent on debt financing, with limited availability of venture capital and private

equity to support innovation for startups and other critical sectors. Strong investor appetite is evident in frequent oversubscription of government bonds.

However,  Nigeria has yet to fully leverage its diaspora community. Well-structured financial instruments tailored to diaspora savings and remittances could significantly enhance capital inflows and support national development goals.

“The Federal Government should ensure effective coordination of market stakeholders to enhance implementation of fiscal, trade, and monetary policies to boost investor confidence and attract long-term capital. There is a compelling need to sustain transparent policies for a unified FX system that improves liquidity and enhances the ability of foreign investors to repatriate capital seamlessly. Government should prioritise infrastructure development through public-private partnerships (PPPs). Nigeria is in dire need of a national savings strategy to mobilise local savings and channel them into productive sectors, particularly manufacturing and technology. For enhanced efficiency, regulatory approvals should be streamlined to promote innovation, such as fintech integration. 

“Capital market regulators should leverage ISA 2025 to build trust through stricter enforcement of corporate governance, enhanced disclosures, and efficient dispute

resolution mechanisms. The need to encourage pension and insurance firms to invest more in long-term instruments such as infrastructure funds and equity markets through appropriate risk frameworks. Market operators should innovate and scale up diverse financial products to attract different categories of investors, including millennials, Gen Z, Gen Alpha and the like. Innovative products in Real Estate Investment Trusts (REITs), venture capital

“The Chartered Institute of Stockbrokers (CIS) was praised as a hub of thought leadership, where members actively advocate for sound economic policies and drive the development of the capital market. However, securities dealers were urged to maintain the highest ethical standards and place investor confidence at the forefront of their professional conduct,” the communique added.

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