Local and International Capital Providers Key to Nigeria’s Economic Growth, Says NGX CEO
At the 21st Annual AVCA Conference and VC Summit in Lagos, Temi Popoola, the Group Managing Director/CEO of the Nigerian Exchange Group (NGX), emphasized the crucial role both local and international capital providers play in Nigeria’s quest for inclusive economic growth. This statement was made amidst discussions on the country’s strategies to deepen its capital markets and enhance economic development. Popoola highlighted that as Nigeria strives to expand its capital market, cooperation from various capital providers has become indispensable for the country’s long-term growth trajectory.
The AVCA Conference serves as a major platform for connecting business leaders, policymakers, and private capital providers from around the globe. Popoola underscored the importance of public-private market collaboration, noting that capital markets serve as a vital bridge for unlocking value and providing structured exits for private investments. This synergy is seen as crucial for achieving sustainable economic growth and facilitating financial innovations in Nigeria.
Abi Mustapha-Maduakor, CEO of the African Private Capital Association (AVCA), also shared insights on Africa’s resilience amid global financial challenges. Mustapha-Maduakor emphasized that despite ongoing macroeconomic challenges, Nigeria remains a leader in Africa’s venture capital scene, and collaboration across various sectors will be essential for unlocking private capital’s potential to impact performance and growth. This comes at a time when shifting global economic dynamics have heightened the importance of such collaborations.
The economic strength of Nigeria is further underscored by the recent release of AVCA’s Nigeria Factsheet, which highlighted the country’s dominance in West Africa’s private capital market. Between 2020 and 2024, Nigeria accounted for 66% of the region’s deal volume and 52% of its deal value. Moreover, Nigeria leads the African venture capital landscape, with five unicorns and a growing number of venture capital-focused fund managers.
In terms of market performance, the Nigerian Exchange has shown notable growth in 2024, driven by a surge in equity listings and capital-raising activities. The NGX’s market capitalization increased by 53.37%, reaching N62.76 trillion, fueled by 269.942 billion shares listed across various sectors. This growth aligns with Nigeria’s push to leverage its capital markets to support economic development, creating opportunities for private capital investment.
Source: Nairametrics