Securities and Exchange Commission (SEC) has revealed that the country’s capital market recorded a massive 125 per cent growth in market capitalisation over the past two years, rising from about N55 trillion in April 2024 to more than N123.93 trillion as of early 2026.
Gatekeepers News reports that the Director-General of the commission, Emomotimi Agama, disclosed this while speaking at a meeting of the capital market working group on market liquidity in Lagos.
He explained that the strong growth also reflected in the market’s contribution to the nation’s gross domestic product, which climbed significantly from 13 per cent to 33 per cent within the same period.
“Since this administration came into being in April 2024, we have seen market capitalisation grow from about N55 trillion to over N123.93 trillion,” Agama said.
“Our contribution to GDP has moved from 13 per cent to 33 per cent. These are impressive figures, but they tell only part of the story.”
He described the figures as a clear indication of rising investor confidence and improving stability in the Nigerian capital market, noting that the sector is playing an increasingly vital role in supporting economic development.
According to him, the growth reflects renewed trust by both local and foreign investors, improved regulatory oversight, and reforms introduced to strengthen transparency and efficiency.
However, Agama cautioned that expansion in market size alone is not enough if it is not matched with adequate depth and liquidity. He stressed that without sufficient liquidity, investors may struggle to exit positions without causing sharp price changes, which could discourage further participation.
“A capital market is often described as the barometer of an economy’s health. But for that barometer to be accurate, the market must be more than just large-it must be liquid,” Agama said.
He explained that improving liquidity would require the introduction of more innovative financial products, particularly the rapid development of derivatives and other asset classes that would support risk management, hedging, and broader participation.
He also highlighted that the newly enacted Investments and Securities Act of 2025 has expanded the commission’s regulatory powers to cover digital assets, a move aimed at guiding speculative investments into safer and more regulated channels.
“The capital market is not gambling; it is the engine of national development. It finances roads, powers factories and creates jobs,” he said.
Agama urged members of the working group to come up with practical and forward-looking proposals that would deepen the market, expand access, and strengthen its global competitiveness, in line with the federal government’s ambition of building a trillion-dollar economy.
He added that while recent achievements are commendable, the next phase of reforms will focus on building a more inclusive, resilient, and liquid market that can sustain long-term economic growth.
