The international community and investors have been assured of the current regime’s commitment towards continued implementation of strategies and policies towards achieving economic development.
The Vice President Yemi Osinbajo gave the assurance on Monday while speaking in Abuja at the 2nd capital market stakeholders’ forum organised by Senate and House of Representatives Committees on capital market and institutions in collaboration with Securities and Exchange Commission and other stakeholders.
According to him, some of the initiatives include: Economic Recovery and Growth Plan (ERGP), unprecedented investments in capital projects in the past three years, tax incentives and the Ease of Doing Business.
Osinbajo who was represented by Patience Oniha, Director General, Debt Management Office said the strategies and policies are aimed at attracting “investors into various sectors of the Nigerian economy with the aim of growing and diversifying the economy, creating jobs and improving the quality of life.”
While also noting the importance of Nigerian capital market in the attainment of these objectives, he said:
“Financial markets are known to be engines of growth because of the strategic role they play in the flow of funds to businesses and governments. There is extensive literature on the fact that there is a strong positive correlation between the level of development of the financial system and economic development, for the simple reason that financial markets act as intermediaries between lenders and borrowers.
“While this correlation is certainly the case for the advanced market economies, the same cannot be said for Nigerian capital market in the areas of legislations, regulations, technology and products amongst others which have attracted local and foreign investors to the market and I would like to commend the regulators and operators alike for these achievements.”
Osinbajo further noted “There is however, room for innovation, increased depth and efficiency of the capital market and this represents an opportune time for these to begin to occur in anticipation of increased and more sophisticated demand for capital market products,”
He also tasked the stakeholders to come up with “creative ways for enabling small and medium businesses to access capital will also be considered as they have a great potential for growth, job creation and effective source of local resources.”
A delegation of my Distinguished colleagues from the Senate and I are in Russia for a 3-day parliamentary visit. Over the next few days, we will be meeting with the Chairperson of the Federation Council, Ms. Valentina Matviye, and I will be addressing the Council on ways both our countries can deepen our legislative best practices and forge a stronger relationship between both our parliaments.
The President of the Senate, Bukola Saraki in his speech presented by Senator Philip Aduda said the Capital market, can be a catalyst for development.
“The role of the capital market, and the institutions integral to it, must be emboldened to drive development in the private sector. This means that the fiscal, advisory and empowerment responsibility of our financial institutions will be called on now, more than ever, in entrenching economic policies that will elicit development in the Micro, Small and Medium Enterprises (MSMEs) in the country.
“I have always maintained that the role of the National Assembly is to give the right platform for all sectors of the economy to thrive. The platform to grow businesses, to draw foreign investments into the country, to sustain meaningful and mutually beneficial investments via bilateral and multilateral instruments. This is our law making responsibility for the economy,” Saraki said.
Yesterday, the National Assembly parliamentary delegation, held a roundtable discussion at the United States Institute of Peace (USIP), hosted by Ambassador Johnnie Carson. The meeting, which had representatives from Fund Peace, Global Financial Integrity, CSIS Africa, Committee on Foreign Relations and the US State Department, discussed ways of fostering increased cooperation between both the United States and Nigeria.
In his remarks, Speaker Yakubu Dogara re- echoed the commitment of the National Assembly to the development of the capital market, adding that that the parliament has so far delivered some of the legislative actions enunciated in the communique issued at the maiden capital market stakeholders’ forum held in June, 2016.
Represented by Majority Deputy Chief Whip, Pally Iriase, he said: “it is instructive to note that the National Assembly has recorded relevant milestones that is expected to drive the operations of Nigeria’s capital market.
“These include: passage of demutualisation bill, ongoing amendment of CAMA Act, public hearing held on the amendment of relevant sections of Investment and Securities Act, 2007; review of the Warehouse receipts and other related bills; arbitration and conciliation bill; ports and harbour bill; Nigerian Roads Fund bill; CISI bill; Railway bill;
He noted there were other legislative intervention through public hearings on ‘downward trend of the capital market’, bonds, securities and private placement and other related bill” currently receiving attention at the National Assembly.