Capital Market Soars N68.83trn, Lifts GDP Share to 33%
Nigeria’s capital market has added a staggering N68.83 trillion in value within 12 months, pushing total market capitalisation from about N55 trillion in April 2024 to over N123.93 trillion and raising its contribution to the nation’s Gross Domestic Product from 13 per cent to 33 per cent.
Director-General of the Securities and Exchange Commission, Dr Emomotimi Agama, disclosed the figures in Lagos during his inaugural address to members of the Capital Market Working Group on Market Liquidity, describing the rally as a 125 per cent surge that underscores renewed investor confidence and the resilience of the Nigerian market.
According to him, the N68.83 trillion growth recorded since April 2024 marks one of the most significant expansions in the history of the domestic bourse, dramatically strengthening the capital market’s weight in the broader economy.
“Since this administration came into being in April 2024, we have seen market capitalisation grow from about N55 trillion to over N123.93 trillion. Our contribution to GDP has moved from 13 per cent to 33 per cent. These are impressive figures, but they tell only part of the story,” he said.
Agama stressed that while size is important, liquidity remains the lifeblood of a functional and efficient market. He noted that a capital market must not only expand in value but also deepen in structure to effectively mobilise long-term capital for infrastructure, corporate expansion and job creation.
He identified high transaction impact costs for institutional investors and the concentration of trades in a handful of highly capitalised stocks as major structural constraints, warning that limited depth could discourage participation if investors are uncertain about exiting positions without distorting prices.
To tackle these concerns, the Commission inaugurated a multi-stakeholder Working Group comprising exchanges, custodians, fund managers and dealing members. The committee is mandated to review trading and settlement infrastructure, identify technical bottlenecks affecting transaction speed and recommend measures to align Nigeria’s settlement cycle with other leading emerging markets.
The SEC is also targeting the onboarding of up to 20 million new retail investors through digital platforms, dematerialisation of share certificates and strategic partnerships with fintech firms, a move aimed at broadening participation and strengthening price discovery.
Agama further noted that product innovation, particularly the accelerated development of derivatives and other asset classes, would be pivotal in improving liquidity and providing investors with hedging tools.
He added that the recently enacted Investments and Securities Act 2025 has expanded regulatory oversight to cover digital assets, creating an avenue to channel speculative flows into structured and productive investment vehicles.
Describing the capital market as central to national development, he said it remains a critical financing channel for infrastructure, enterprise growth and employment generation.
“The capital market is not gambling; it is the engine of national development. It finances roads, powers factories and creates jobs,” he stated.
Chairman of the Committee and Group Chief Executive Officer of the Nigerian Exchange Group, Mr Temi Popoola, assured the Commission that the team would deliver practical, measurable reforms to deepen liquidity, restore confidence and strengthen market resilience.
With market capitalisation now standing at N123.93 trillion and its GDP contribution more than doubling to 33 per cent, the next phase of reforms, Agama said, will focus on building a market that is not only large but deep, inclusive and globally competitive, in alignment with the Federal Government’s ambition of a trillion-dollar economy.
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