DMO Pledges Partnership to Develop Nation’s Capital Market
The Debt Management Office ( DMO) has stated its readiness to continually partner the media and other stakeholders to develop the nation’s capital market. The Director, Portfolio Management, DMO, Mr. Oladele Afolabi stated this recently in Lagos while speaking at the annual conference of Capital Market Correspondents Association of Nigeria (CAMCAN).
Afolabi, who spoke on: “Deepening the nation’s capital market for economic growth,” disclosed that DMO had, over the years, worked with stakeholders to develop Nigeria’s capital market.
“By resuscitating the bond market, the DMO provided an avenue for other issuers – such as sub-nationals, corporates and supranational institutions, to raise long-term funding for developmental projects. The activities of the DMO, and other operators, have facilitated the establishment of standard and transparent primary issuance systems. A vibrant and liquid secondary market has also been created,” he said. According to him, as professionals with a special focus on the capital market, members of CAMCAN are uniquely positioned to support the DMO’s initiatives in various ways such as: “improving the level of financial literacy – educating Nigerians about the financial markets, to improve their knowledge and guide them to make informed choices. Dissemination of accurate information about Nigeria’s public debt and the initiatives of the DMO.”
He noted that they can also highlight the opportunities available for investors – domestic and foreign – in the Nigerian economy. Afolabi stressed that the DMO has been deepening the FGN securities market by introducing new borrowing instruments to provide additional options for financing the government’s operations. The DMO has also continued to diversify the investor base for FGN securities to ensure that the Government’s financing plans are successfully executed while lowering the cost of borrowing.
“In 2017, the DMO introduced the FGN Savings Bond – for retail investors, the Sovereign Sukuk – for ethical and non-interest investors, while a Green Bond is planned before the end of 2017. These products provide new sources for financing infrastructure and also provide opportunities for more Nigerians to participate in national development, while earning income on their investments,” he said.