The Federal Government has urged state governments to use capital market bonds to finance long-term infrastructure projects, with Vice President Kashim Shettima declaring that subnational governments must embrace properly structured bonds to drive sustainable development. Shettima unveiled the Nigerian Capital Market Master Plan 2.0 at the National Capital Market Conference 2026 in Abuja on Monday, targeting expansion of the market from about N250tn to N750tn by 2036. The Vice President said access to capital market financing could promote fiscal discipline and strengthen accountability in public spending. "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 Securities and Exchange Commission developed the 10-year roadmap, with SEC Director-General Dr Emomotimi Agama noting that the master plan was designed to deepen market participation, expand investment products, and strengthen the integrity and infrastructure of the capital market. The initiative aims to position the market as a major source of financing for the Federal Government's goal of building a $1tn economy. According to Shettima, 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. The combined value of equities and bond markets had exceeded N217tn. Shettima attributed this growth to Federal Government reforms including petrol subsidy removal, foreign exchange market unification, tax reforms, bank recapitalisation, and the Investments and Securities Act 2025.
As part of efforts to expand market participation, the SEC 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 traders, farmers, and young graduates, while connecting domestic savings to productive investments. The scheme has legal backing under the Investments and Securities Act 2025, with funds managed by professional fund managers registered with the Commission. 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.
However, Agama cautioned that the market's rising value had not translated into broader participation by Nigerians, noting that relatively few Nigerians invest in shares, bonds or collective investment schemes. He said many businesses, infrastructure projects and state governments remain heavily dependent on bank loans and foreign capital. Nigeria was reinstated into the FTSE Russell Frontier Market Index on 21 September, and according to Agama, the All-Share Index gained about 60 per cent in 2026, following a 51 per cent return in 2025. The SEC boss said equities market capitalisation crossed N100tn for the first time in January and rose above N160tn in September.
Senate Committee on Capital Market Chairman Osita Izunaso 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 noted that Nigeria had more than five million registered companies but only about 151 listed companies. He also called on the SEC to accelerate development of regulations for digital assets and tokenisation. Minister of Finance Taiwo Oyedele argued that Nigeria should target a $1tn capital market within the next 10 years, and urged acceleration of state-owned enterprise listings to support Nigeria's ambition of building a $1tn economy by 2030.