The Speaker of the House of Representatives, Yakubu Dogara, on Wednesday lamented the refusal of multinational companies to list on the Nigerian Stock Exchange, expressing the need for a law to reverse the trend.
In a statement issued by his Special Adviser on Media and Public Affairs, Turaki Hassan, the Speaker expressed the regret when he received members of the Nigeria- United Kingdom Capital Market Project in his office on Wednesday.
According to the statement, Mr. Dogara commended the Memoranda of Understanding between the stock exchange institutions of both countries.
The Speaker maintained that there was no justification for the failure of multinational oil and gas and telecommunication companies to list on the Nigerian stock exchange.
He said big companies in the two major sectors have to list on the capital market in order to create employment, deepen the market and make capital available for investors.
Going forward, Mr. Dogara said the House may consider passing a law that will compel multinationals in oil, gas and telecommunication sectors to list certain percentage of their value on the stock exchange.
“Apart from capital inflow sought, the market needs to be deepened, as most of the big international companies in Nigeria are not participating in the Nigerian Stock exchange,” he said.
“This is sad because these companies account for a huge percentage of revenues in oil, communication and energy etc.,”
The speaker promised legislative interventions in all areas of value-added partnership aimed at wealth increase and redistribution, as well as the creation of employment and economic diversification.
Also speaking, the President, Nigeria Stock Exchange, Aigboje Imoukhede and co-chairman Nigeria- UK Capital Market, Rogers Gifford, who led the UK team, said the aim of the project was to increase capital flow between both countries’ capital markets for mutual development.
Mr. Imoukhede said Nigeria has been identified as “one of three exciting countries to work with” adding that, “a study is being written to improve the market structure to attract more market.”
Messrs Imoukhede and Rogers expressed hope that the MoU signed between the two countries would be adhered to.
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