NGX on $1trn Economy: High Governance Standards in Public, Private Institutions Critical to Building Investor Confidence
Ndubuisi Francis in Abuja
Chairman of Nigeria Exchange Group (NGX), Dr. Umaru Kwairanga, has stated that realising Nigeria’s ambition of building a $1 trillion economy would require more than policy reforms. Kwairanga said it would also entail a mix of sustained capital mobilisation, strong institutions, and a governance framework that inspired confidence among domestic and international investors.
Kwairanga made the remarks as chairman of the Chartered Institute of Directors (CIoD) conference dinner in Lagos.
He said the country could not build an economy with hot money, apparently alluding to portfolio investment, stating that economic development requires patient capital that is long-term in nature and can be directed to critical infrastructure, which is the foundation for solid growth.
To attract that type of capital, the NGX chairman said public and private institutions must demonstrate high governance standards that will assure investors that their funds were in safe hands.
He stated that Nigeria’s ambition of building a $1 trillion economy represented a significant opportunity to reposition the country as a leading investment destination and economic powerhouse in Africa.
Kwairanga said, “The capital market must remain central to this transformation, serving as a platform for financing infrastructure, expanding productive enterprises and unlocking investment opportunities across critical sectors of the economy.
“Importantly, the depth and resilience of our capital market will be fundamental to our ability to attract patient, long-term capital capable of supporting sustainable economic growth.”
Kwairanga added, “As we pursue this ambition, we must recognise that capital follows confidence, and confidence is built on good governance.
“Transparency, accountability, regulatory consistency and institutional integrity are therefore not merely corporate obligations but essential drivers of economic competitiveness.”
He said, “At Nigerian Exchange Group, our commitment remains to strengthening market integrity, deepening investor participation and advancing a capital market that supports sustainable wealth creation.
“Ultimately, building a $1 trillion economy is not simply about achieving a numerical target; it is about creating a resilient, inclusive and globally competitive economy that delivers lasting prosperity for Nigerians.”
Kwairanga stressed, “We cannot build an economy with hot money. Economic development needs patient capital that is long term in nature and can be directed to critical infrastructure that is the foundation for solid strong growth.
“To attract that type of capital, our public and private institutions must demonstrate high governance standards that will assure investors that their funds are in safe hands.”
He expressed the belief on an economy, which leveraged digital technology to offer goods and services across borders and social media offered existing businesses alternatives to broaden their market reach and also offered budding entrepreneurs with bright ideas a quick path to breakthrough.
Kwairanga said, “As leaders, we should define ways to utilise these opportunities and steadily push towards the trillion-dollar economy target.” According to him, this reinforces the institute’s position at the forefront of capacity building and advocacy for corporate governance practitioners in Nigeria.