2017 Budget: Stakeholders want initiatives to boost capital market performance

Stakeholders in the capital market on Thursday agreed on the need for innovative initiatives that would improve the general performance of listed companies and by extension, the market for a healthy economy.
They said this in a communique at the just concluded seminar, organised by the Securities and Exchange Commission (SEC), on the 2017 Budget in Lagos.
The seminar was titled: “The 2017 Budget of Growth and Recovery: Relevance, implications and Perspectives of the Nigerian Capital Market.”
According to the stakeholders, mostly financial experts, the capital market needs to be further deepened by introducing products that provide hedging opportunities for firms and investors against foreign exchange risks.
“Capital market needs to contribute to the removing of stress witnessed by listed firms as that affects the performance of the stock market.
“Also, accelerating asset classes such as infrastructure funds, infrastructure bonds, retail bonds and derivatives could be re-introduced for the advantage of the investors and capital market operators.
“Capital market shareholders must be actively involved in the advocacy programmes to ensure that government policies do not adversely affect the development of technical market.”
The experts called on government to amend the pension fund laws, to encourage greater allocation to capital market.
“The Federal Government should set specific timelines for identifying assets to be sold and the process which it would be sold. The same should be done to capital market.
”This would encourage efficiency and scarce resources being committed to manage assets.
“There is need to further strengthen and consolidate on the current effort on the investors education, specifically enlightening policy makers and academicians on the role of capital market in economic development.”