In order to deepen and make the Capital Market progress, key players in the Nigerian economy must list their businesses on the Nigerian Stock Exchange, the Speaker of the House of Representatives, Hon. Yakubu Dogara, has said.
Dogara made the remark while receiving members of the Capital Market Master Plan Inplementation Council in his office.
The House of Representatives, he said, is willing to provide all necessary support, through legislations, incentives and any other instruments to compel all major companies in the country get listed on NSE.
His words: “One of the deepest issues that we have to address is that of value that is being created and completely taken away by corporations. In other words, in some jurisdictions, they refer to it as corporate greed; where many companies are generating value investing in Nigeria, reaping profits but you find out that nine people will sit and just share billions of profit. I’m not exaggerating, it is happening right now in Nigeria and I am glad you listed one of them.
“But by listing in the Nigerian Stock Exchange, it even helps in the income improvement of the ordinary citizen because they can invest in that company and whatever profits the company makes goes round and that reflects on the economy. But that is not what is happening.”
The Speaker, however applauded the council for being focused and having a vision and plan for moving the Nigerian Stock Market ahead, adding that if democracy cannot deliver on the goods to Nigerians, then democracy is on trial.
He further urged the council to look into tightening the regulatory power of Securities and Exchange Commission to ensure that manipulators of the NSE are properly sanctioned as a deterrent to future misdeeds, and to restore investors’ confidence in the market.
Dogara said there is a need to define timelines for achieving set objectives in revamping the sector, while explaining that that is the only way to ensure that the whole process does not become another talk shop.
Mr Olutola Mobolurin, head of the council, in an earlier remark urged the Speaker and the House to partner with the council to rebuild the NSE in order to grow the economy and diversify it.
Mobolurin said the roles of the Investment and Securities Tribunal, should be defined by law, and sought an amendment to the law with regards to mutualisation of NSE, and clear legislation on unclaimed dividends, crowd funding, price stability in Commodities Market, Trustees Act and the Housing sector through mortgage bank securities.