The Federal Government is considering diversifying instruments of the nation’s stock market through the Economic Recovery and Growth Plan.
This was disclosed by the Minister of Finance, Mrs Zainab Ahmed, while speaking at the maiden Awards Night of the Securities and Exchange Commission.
The minister, who restated Federal Government commitment to building a vibrant capital market that would contribute to the growth and development of the country, said the ERGP policy objectives for the financial sector aimed to further diversify instruments of the stock market, review the capitalization of the financial institutions and encourage lending to the real sector of the economy similar to the Capital Market Master Plan.
Ahmed also noted that the capital market played a central role in the development of the economy through the mobilisation of long-term savings for investment, as well as efficient pricing of financial instruments.
She said: The government is making a lot of efforts to diversify the economy, raise revenue and block leakages; efforts are also being made to ensure the mobilisation of resources that will aid investment in small and medium enterprises and provide infrastructure.
The main thrust of the Capital Market Master Plan aligns with the vision of the ERGP for the financial services sector. When the ERGP was being prepared, copious references were made to the 10-year master plan.
Speaking further, the minister bsaid that the ERGP vision for the financial services sector was to strengthen relevant market institutions and mitigate risk by building a healthy and competitive financial system, which would be better positioned to support the private sector and contribute towards the sustainable development of the economy.
She also insisted that the strengthening of the capital market is necessary for the government to be able to create jobs, wealth and increase the standard of living of the people.
She said: The capital market is central to all of these efforts. As the ERGP recognises the power of the capital market to drive its own forms, the Capital Market Master Plan Implementation Council has proven to be an embodiment of recognition.