FG to sell stake in NNPC Ltd, list Dangote Refinery as NGX targets $1trn

Chairman of the Nigerian Exchange Group (NGX), Umaru Kwairanga, has revealed that the federal government is committed to selling a stake in the Nigerian National Petroleum Company (NNPC) Limited, as part of efforts to deepen Nigeria’s capital markets and grow the economy.

Kwairanga disclosed this over the weekend during his keynote address at the “For the Love of Our Country (FLOC)” 2025 symposium, hosted at Bayero University, Kano.

He also confirmed that Dangote Refinery and Petrochemicals is expected to be listed soon on the NGX, alongside the proposed partial privatization of NNPC Ltd. These two developments, he noted, would significantly boost the Nigerian capital market’s depth and investor confidence, especially in the energy sector.

“Major listings in the oil and gas sector — such as the planned sale of a stake in NNPC Ltd and the anticipated listing of Dangote Petrochemicals — are set to substantially increase market capitalisation,” Kwairanga said.

Kwairanga emphasized that these moves align with President Bola Tinubu’s economic ambition of growing Nigeria’s GDP to $1 trillion by 2030. He stated that the NGX is focused on ensuring that the capital market becomes a key driver of this target.

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According to him, Nigeria’s All-Share Index (ASI) surged from 48,837 to 111,742 basis points, while market capitalization jumped from ₦26.4 trillion to ₦70.5 trillion between 2023 and May 2025. With bond markets included, total market capitalization now exceeds ₦121 trillion.

“This growth shows we’ve more than doubled the indices of both equity and bond markets in just over two years. But our ambition goes further — we aim to make the capital market central to achieving a $1 trillion economy,” he said.

Despite Nigeria’s market capitalisation being less than 20% of GDP — a stark contrast to South Africa’s JSE, which exceeds its national GDP — Kwairanga said there is enormous untapped potential.

Digital innovation through NGX Invest, a platform that facilitates primary market offerings and promotes financial literacy among youths, students, and NYSC members.

Development of new financial instruments such as exchange-traded funds (ETFs), derivatives, and ethical investments to attract diverse investors.

Cross-border market integration with other African exchanges, which will allow Nigerian investors to trade shares listed in countries like Ghana, and vice versa.

“We’re engaging institutional investors, including pension fund administrators and mutual funds, while also expanding the sophistication of our market offerings,” he added.

Kwairanga acknowledged that declining disposable income, infrastructural deficits, and global headwinds remain key challenges. However, he expressed confidence that these could be overcome through policy consistency, innovation, and stakeholder collaboration.

“The capital market is crucial for financing long-term infrastructure and encouraging the formalisation of businesses. It must reflect our true economic potential,” he said.

He concluded by reaffirming the NGX Group’s commitment to working with regulators like the Securities and Exchange Commission (SEC) to improve market transparency, efficiency, and depth.

As Nigeria pursues economic reforms and renewed global investor interest, analysts say that the partial listing of NNPC and onboarding of Dangote Refinery could mark a transformational era for the local bourse and the broader economy.