The World Federation of Exchanges (WFE) has raised concerns over the continued decline of public markets, warning that the trend poses a significant threat to global finance. In its newly launched Exchange Manifesto, the federation stressed that public markets remain the most transparent, resilient, and inclusive platform for capital allocation, essential for economic prosperity and financial inclusion worldwide.
The Exchange Manifesto, unveiled on Wednesday, sets out ten key “pillars” that highlight the value exchanges create for individuals, companies, and governments. These include providing investors with access to inflation-beating returns, supporting small and large businesses with long-term funding opportunities, strengthening economic growth, and channeling capital to critical sectors such as defense, medicine, digitalization, and artificial intelligence.
According to the WFE, exchanges not only form the foundation of other financial markets but also boost credibility, attract foreign investment, and underpin the insurance industry. They promote public engagement by offering inclusive access to capital markets and reinforcing systemic resilience. “Exchanges make the future happen for savers, for companies and for whole countries,” said WFE Chief Executive Officer, Nandini Sukumar, urging regulators to act before the decline of public markets erodes financial stability.
The global body, which represents over 250 pieces of market infrastructure including standalone clearinghouses, called on policymakers to safeguard public markets by embedding them in economic strategy, incentivizing listings, and recognizing their broader contributions. Established in 1961 and headquartered in London, the WFE serves as the industry association for exchanges and clearing houses worldwide.
Back home, the Nigerian Exchange Limited (NGX) continues to reflect global market trends. The NGX closed Wednesday’s trading session with a market capitalization of N89.56 trillion, underlining the importance of resilient capital markets in supporting national economic growth.
Source: Punch