Nigeria Eyes $1 Trillion Economy Through Capital Market Reforms and Innovation

The Federal Government of Nigeria has reiterated its ambition to achieve a $1 trillion economy by leveraging private sector innovation and overhauling its capital market system. At the Capital Market Committee (CMC) meeting in Abuja, Minister of Finance Wale Edun (represented by Dr. Doris Uzoka-Anite) emphasized the need for a transparent and investor-friendly environment to boost economic growth. Central to this vision is the implementation of strategic reforms aimed at making the capital market a key driver of national development.

Edun pointed to the Capital Market Master Plan (2015–2025) as foundational to ongoing improvements. The revised plan now prioritizes digitization, innovation, sustainability, and inclusion—objectives that align closely with the government’s broader economic agenda. These elements are expected to improve corporate governance, diversify product offerings, and enhance investor confidence in Nigeria’s capital markets.

A major milestone in these reforms is the newly enacted Investment and Securities Act (ISA) 2025, which updates the legal and regulatory framework for Nigeria’s capital markets. Described as a “game-changer,” the Act clarifies emerging sectors such as digital assets and crowdfunding while streamlining enforcement procedures. It is expected to modernize operations and drive market efficiency.

The Minister also highlighted Nigeria’s strong economic performance in 2024, which saw the fastest GDP growth in nearly a decade. This growth is attributed to regulatory overhauls by the Securities and Exchange Commission (SEC), including its involvement with global standard-setting bodies like IOSCO and adoption of ISSB sustainability standards.

SEC Director-General Dr. Emomotimi Agama described the ISA 2025 as ushering in a transformative era for the capital market. He reaffirmed the Commission’s commitment to regulatory integrity, increased stakeholder engagement, and boosting investor confidence. With these reforms in motion, stakeholders are hopeful that Nigeria’s capital market will become a critical engine for inclusive economic growth and sustainable investment inflows.

Source: The Sun