The Nigerian Exchange Group (NGX) is actively gearing up for the imminent listing of Dangote Petrochemicals, a strategic development anticipated to significantly enhance Nigeria’s market capitalization and deepen the country’s capital markets.
In a recent statement, NGX Group Chairman Dr. Umaru Kwairanga underscored that this listing aligns closely with President Bola Tinubu’s economic vision, which targets expanding Nigeria’s Gross Domestic Product (GDP) to $1 trillion by the year 2030.
Kwairanga pointed out that major listings in the oil and gas sector, including the planned public offerings of stakes in NNPC Ltd. and Dangote Petrochemicals, will be crucial pillars in driving this ambitious economic growth.
Capital Market Growth Through Key Listings
Addressing the prospective impact of Dangote Petrochemicals joining the stock exchange, Kwairanga reiterated NGX’s dedication to fostering investment and expansion within Nigeria’s financial markets.
“Dangote Refinery has formally applied for the petrochemical listing, and we are working diligently to secure their inclusion on the exchange before the close of the second quarter,” he revealed.
Emphasizing the vital role of a vibrant capital market, he noted that increased market participation is essential for long-term infrastructure development, enhanced business formalization, and accurately reflecting Nigeria’s economic capacity.
Nonetheless, Kwairanga expressed concern that Nigeria’s stock market capitalization currently remains under 20% of the nation’s GDP, a stark contrast to South Africa’s Johannesburg Stock Exchange, which surpasses its country’s GDP in market value.
Enhancing Market Infrastructure
To bridge this gap, NGX in collaboration with the Securities and Exchange Commission (SEC) has launched several initiatives aimed at boosting transparency and operational efficiency. These measures include:
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The dematerialization of share certificates to enable smooth electronic trading.
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Clearing the backlog of unpaid dividends to restore investor trust.
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Reducing the settlement cycle for secondary market trades to T+2, thereby enhancing liquidity.
“We are partnering closely with regulators and market participants to improve accessibility and make the market more attractive,” Kwairanga affirmed.
Leveraging Digital Innovation and Promoting Financial Inclusion
Highlighting the importance of technology, Kwairanga drew attention to NGX Invest, a digital platform designed to streamline primary market offerings and enhance financial education—especially among students, youth, and National Youth Service Corps (NYSC) members.
Furthermore, NGX is engaging institutional investors, including pension fund administrators and mutual funds, while developing sophisticated financial instruments like exchange-traded funds (ETFs), derivatives, and ethical investment products to diversify opportunities and cater to investor preferences.
Advancing Regional Market Integration
Kwairanga also highlighted ongoing efforts to connect African capital markets, enabling Nigerian investors to access shares listed on other exchanges such as those in Ghana.
This cross-border integration seeks to establish a stronger, more interconnected financial ecosystem across Africa.
Despite challenges including reduced disposable incomes, infrastructural constraints, and global economic uncertainties, Kwairanga expressed optimism about Nigeria’s capacity to overcome these hurdles and build a more expansive and sophisticated capital market.
Performance Highlights
In May 2025, the NGX delivered Africa’s second-best stock market return, outperforming four other major African exchanges with a month-to-date gain of 5.62%.
This performance placed Nigeria’s domestic exchange ahead of the Casablanca Stock Exchange, Johannesburg Stock Exchange, Egyptian Exchange, and Ghana Securities Exchange.
However, the Nairobi Securities Exchange led the group with a remarkable 6.4% return, surpassing Nigeria’s All-Share Index by 0.8 percentage points.
