The Federal Government has urged state governments across the country to leverage capital market bonds responsibly to fund long-term infrastructure projects, with Vice President Kashim Shettima declaring that subnational governments must embrace properly structured bonds to drive sustainable development.
Unveiling the Nigerian Capital Market Master Plan 2.0 aimed at expanding the market to N750tn by 2036 at the National Capital Market Conference 2026 in Abuja on Monday, Shettima emphasised that access to capital market financing could promote fiscal discipline and strengthen accountability in public spending, while making the market a primary channel for financing Nigeria’s future development.
“We will work with state governors to encourage responsible use of the capital market through properly structured bonds, credible project pipelines, and greater transparency,” Shettima stated.
The 10-year roadmap, developed by the Securities and Exchange Commission, targets growth from a baseline of about N250tn to N750tn over the next decade. SEC Director-General Dr Emomotimi Agama noted that the Nigerian Capital Market Master Plan 2026–2036 was designed to deepen market participation, expand investment products, and strengthen the integrity and infrastructure of the capital market.
He said the initiative would position the market as a major source of financing for the Federal Government’s ambition of building a $1tn economy.
Shettima said Nigeria’s capital market had recorded significant growth since the Tinubu administration assumed office in May 2023.
According to him, the Nigerian Exchange All-Share Index rose from about 55,000 points in May 2023 to more than 260,000 points, while the value of listed equities increased from approximately N30tn to nearly N160tn in January 2026. He added that the combined value of the equities and bond markets had exceeded N217tn, reflecting increased investor participation and the impact of economic reforms.
The Vice President attributed the growth to reforms undertaken by the Federal Government, including the removal of petrol subsidy, unification of the foreign exchange market, tax reforms, bank recapitalisation, and the enactment of the Investments and Securities Act 2025.
He said the reforms, despite their short-term costs, had helped strengthen investor confidence by improving the policy framework and regulatory environment.
Shettima said the master plan would place the capital market at the centre of infrastructure financing, enabling governments to fund long-term projects through domestic savings rather than relying excessively on short-term or foreign borrowing.
He said the plan would also strengthen the bond market for state and subnational governments, broaden retail participation through technology and investor education, and provide opportunities for businesses in agriculture, solid minerals, and other sectors to raise capital locally.
The Vice President, who chairs the National Economic Council, urged market operators and regulators to sustain the momentum, warning that policy reversals could undermine investor confidence and erode the gains recorded in recent years. He said the success of the 10-year plan would depend on consistent policies, effective regulation, and the ability of market participants to protect investors while expanding investment opportunities across the country.
As part of efforts to expand participation in the capital market, the SEC also announced plans to launch the National Savings Scheme to provide Nigerians with a formal avenue to save and invest.
Agama said the scheme was designed to encourage savings among different segments of the population, including traders, farmers, and young graduates, while connecting domestic savings to productive investments. He said the scheme had legal backing under the Investments and Securities Act 2025, with funds to be managed by professional fund managers registered with the Commission.
According to Agama, a memorandum of understanding involving the SEC, the Nigeria Revenue Service, and FSD Africa would support the initiative through tax incentives aimed at encouraging savings. Agama said the Commission would establish implementation structures to ensure that the master plan delivered measurable results. He disclosed that the Project Steering Committee and the Capital Market Master Plan Implementation Committee would be inaugurated at the conference to oversee implementation.
“Every commitment in NCMMP 2.0 will have an owner, a timeline and a scorecard, and we will report progress openly to this nation,” he said.
The SEC boss said Nigeria’s capital market had recorded significant growth, with equities market capitalisation crossing N100tn for the first time in January and rising above N160tn in September. He added that the All-Share Index gained about 60 per cent in 2026, following a 51 per cent return in 2025. Agama also cited Nigeria’s reinstatement into the FTSE Russell Frontier Market Index on 21 September as evidence of growing international confidence in the country’s market reforms.
However, he cautioned that the market’s rising value had not translated into broader participation by Nigerians. He noted that relatively few Nigerians invest in shares, bonds or collective investment schemes, while many businesses, infrastructure projects and state governments remain heavily dependent on bank loans and foreign capital.
“The strength of any capital market rests on the savings of its people. Ours must rest on the savings of all of us,” he said.
He added that the UK Government, through the Foreign, Commonwealth and Development Office, and FSD Africa had provided technical and financial support for the master plan and the savings initiative. Agama stressed that the success of the capital market should ultimately be measured not only by market indices and capitalisation, but also by the number of Nigerians who participate in it, the businesses it finances, and the economic opportunities it creates.
Meanwhile, the Chairman of the Senate Committee on Capital Market, Osita Izunaso, has urged the Federal Government to encourage more companies, particularly the Nigerian National Petroleum Company Limited and telecommunications firms, to list on the Nigerian Exchange. Izunaso said Nigeria had more than five million registered companies but only about 151 listed companies, highlighting the need to deepen the capital market and attract more businesses.
He argued that major companies operating in Nigeria should be encouraged to offer shares to the public, allowing citizens to participate in their growth while expanding the pool of funds available for investment. The senator specifically questioned why NNPC and major telecommunications companies had not listed on the stock exchange, noting that such listings could increase market participation and strengthen domestic capital formation.
He also called on the SEC to accelerate the development of regulations for digital assets and tokenisation, saying delays in establishing a clear framework could limit the country’s ability to benefit from emerging investment opportunities. Izunaso commended the enactment of the Investments and Securities Act 2025, describing it as an important foundation for investor protection, regulatory effectiveness, and capital market development. He urged stakeholders to ensure that implementation of the new master plan produced measurable results rather than remaining a policy document.
The Minister of Finance and Coordinating Minister for the Economy, Taiwo Oyedele, said Nigeria should target a $1tn capital market within the next 10 years, urging the government to accelerate the listing of selected state-owned enterprises, including the Nigerian National Petroleum Company Limited and Nigeria LNG Limited. Oyedele said the country should not limit its ambition to the SEC’s target of growing the capital market from about N250tn to N750tn by 2036.
He said a $1tn capital market would be necessary to support Nigeria’s ambition of building a $1tn economy by 2030 and expanding the economy further in subsequent years. He argued that Nigeria needed to mobilise more domestic savings, attract foreign investment, and create more opportunities for businesses to raise long-term capital locally. According to him, the proposed Nigerian Capital Market Master Plan 2026–2036 would focus on coordinated regulation, modern market infrastructure, new investment products, broader investor participation, and stronger institutions.
Oyedele said the plan should target increasing equity market capitalisation from 33 per cent of gross domestic product to at least 60 per cent, raising the number of listed companies from 146 to 250, and expanding retail investors from six to 20 million. He also proposed more than tripling corporate bond issuance as a share of GDP, increasing sukuk market penetration from 0.3 per cent to at least five per cent of GDP, and raising pension assets from six per cent to 16 per cent of GDP.
The minister said the government would introduce incentives to encourage more private companies to list on the Nigerian Exchange, rather than compel them to do so.
“We cannot force them. We would encourage Nigerian private businesses to list. We will use incentives to attract them,” he said.
On state-owned enterprises, Oyedele said listing selected government assets would improve transparency, broaden public ownership, and deepen the capital market. He specifically cited NNPC and NLNG as companies that could help expand the market if their shares were made available to investors. According to him, NNPC’s potential market value could significantly increase the size of Nigeria’s capital market, drawing a comparison with Saudi Aramco, the Saudi Arabian oil company.
He said listing government-owned companies would enable Nigerians to participate in the wealth generated by national assets while creating more investment opportunities for domestic and international investors. Oyedele’s position aligns with calls by the Senate Committee on Capital Market for the government to encourage NNPC and major telecommunications companies to list on the Nigerian Exchange.
The minister said Nigeria’s economic reforms had helped revive investor interest, citing growth in equity market capitalisation, rising pension assets, and renewed attention from international index providers. He said equity market capitalisation had increased from less than N30tn in mid-2023 to about N160tn, while pension assets had reached N27.5tn.
Oyedele also cited the inclusion of Nigerian government bonds in a new J.P. Morgan government bond index, with a weight of 7.4 per cent, and Nigeria’s reinstatement in the FTSE Russell Frontier Market Index on 21 September 2026. He said the government was working towards returning Nigeria to J.P. Morgan’s flagship government bond index and securing an upgrade into the emerging-market category.
The minister added that he had engaged global index provider MSCI and international credit rating agencies as part of efforts to improve Nigeria’s standing among investment destinations. He said the government was targeting an investment-grade credit rating within the next three years, acknowledging that the ambition would require sustained reforms, improved market liquidity, and reliable repatriation of foreign investors’ funds.
Oyedele said the new master plan would introduce measures to simplify investor onboarding, strengthen custody arrangements, improve settlement systems, and reduce barriers to cross-border investment. He also proposed a single investor identification number and investment channels through mobile networks and fintech platforms to make participation easier for Nigerians.
As part of efforts to increase domestic investment, Oyedele formally launched the National Savings Scheme, designed to provide Nigerians with regulated avenues to save and invest for education, housing, business development, and retirement. He said the initiative would offer accessible investment channels, transparent information, reasonable costs, and a functional complaints process, with tax incentives provided within the law.
The minister expressed concern that many young Nigerians were putting their money into betting platforms, unregulated cryptocurrency schemes, and Ponzi schemes instead of regulated investment products. He said the country had only about six million retail investors in a population exceeding 200 million, representing a relatively small proportion of the population.
Oyedele said the savings scheme and other proposed reforms would enable more Nigerians to invest in regulated funds and local businesses, including through small contributions made using mobile phones. He also announced plans to strengthen enforcement against Ponzi schemes through improved surveillance, social media monitoring, collaboration with law enforcement agencies, and a proposed fraud restitution mechanism to support victims.
According to him, the government would also strengthen the Investment and Securities Tribunal to resolve investment disputes more quickly and expand its mandate to cover commercial dispute resolution.
Oyedele said the master plan was intended to ensure that capital market growth translated into productive investment, job creation, and improved economic opportunities. He argued that long-term infrastructure projects, including power plants, refineries, and other major developments, should increasingly be financed through equity and long-term bonds rather than short-term bank loans.
He also urged pension fund administrators to diversify their investments beyond government securities and channel more funds into productive sectors, subject to applicable investment rules. The minister said the government would coordinate implementation across relevant institutions while respecting the independence of the SEC and other regulators.
He added that progress would be assessed through the amount of capital raised for productive investment, growth in the number of investors, transaction costs, and the effectiveness of investor protection, rather than market capitalisation alone.
Oyedele said the ultimate objective was to enable Nigerian businesses to finance their expansion at home, bring millions more citizens into regulated investments, and position Nigeria as a preferred capital-raising destination for African and international companies.