Nigeria–Brazil Economic ties strengthened as capital markets take center stage

Keep up with the latest news and be part of our weekly giveaways and airtime sharing; follow our WhatsApp channel for more updates. Click to Follow us

The Group Managing Director and Chief Executive Officer of the Nigerian Exchange Group (NGX Group), Temi Popoola, has highlighted the critical role of capital markets in boosting trade and investment ties between Nigeria and Brazil, particularly through support for small and medium-sized enterprises (SMEs).

Popoola made this known during a high-level business forum held on the sidelines of President Bola Ahmed Tinubu’s state visit to Brazil, where both countries signed five memoranda of understanding (MoUs) aimed at strengthening bilateral cooperation. He said NGX Group was strategically positioned as a “gateway for cross-border capital flows and a catalyst for deepening economic collaboration” between the two nations.

For further information, read more details here

Citing recent progress in Nigeria’s capital market, Popoola revealed that Nigerian Exchange Limited (NGX), Africa’s second-largest exchange by transaction volume, has nearly doubled its market capitalisation within the last 18 months to about $90 billion, covering equities, fixed income, derivatives, and alternative investments.

“Historically, exchanges have been platforms for large corporations, but the reality is shifting. Today, SMEs are critical to our economies, and exchanges must innovate to support their growth,” Popoola said.

According to him, NGX has introduced several initiatives tailored toward SMEs, including the Growth Board with lower listing requirements, partnerships with the Bank of Industry (BOI) to channel funding, and new financing options such as private markets, crowdfunding, and receivables financing.

On investment accessibility, Popoola stressed that Nigeria’s markets are ready for foreign participation. “It is easy to invest in Nigeria. Our markets are digital, intermediaries are established, and capital flows freely. Investors who typically allocate funds to Brazil as an emerging market also view Nigeria as an attractive frontier market,” he noted.

He further pointed to NGX Group’s leadership in driving regional integration, referencing its involvement in the African Exchanges Linkage Project and its recent investment in the Ethiopia Stock Exchange. These moves, he said, align with the objectives of the African Continental Free Trade Area (AfCFTA)

A major highlight of the forum was the signing of an MoU between the Managing Director of Nigeria’s Bank of Agriculture, Mr. Ayo Sotinrin, and Brazil’s Minister for the National Bank for Economic and Social Development (BNDES), Mr. Aluísio Mercadante. The agreement is expected to strengthen agricultural financing, attract investments, and foster joint projects, with a focus on channelling more capital into agriculture and other SME-driven sectors.

The session, attended by senior government officials and business leaders from both countries, also explored ways of extending trade relations beyond large corporates to include micro, small, and medium-sized enterprises (MSMEs), with digital innovation identified as a key enabler.

President Tinubu’s two-day visit to Brazil, alongside ministers and private sector leaders, underscored Nigeria’s determination to deepen trade, investment, and economic cooperation with Latin America’s largest economy

Please don’t forget to “Allow the notification” so you will be the first to get our gist when we publish it. 
Drop your comment in the section below, and don’t forget to share the post