Nigeria’s capital markets need
consolidated oversight and better pricing to foster growth,
according to a report authored by the UK Foreign
Office’s Emerging Capital Markets Taskforce (ECMT).
While the country’s financial markets
have no shortage of regulators, these are sector-specific; the
National Pension Commission being one example.
This fragmented approach subjects market
participants to multiple layers of regulation, said Anuoluwapo
Balogun, head of banking and finance at Olaniwun Ajayi’s Lagos office.
"There is inconsistency between the requirements of
various regulators, and this causes inefficiency, hindering the
development of capital markets," she said. "The market remains
concentrated in existing stocks."
The 91-page report identifies four main areas restricting
growth in the emerging market’s debt and equity