Bond market development in nigeria

Background to the Study Foreign portfolio investment FPI is an aspect of international capital flows comprising of transfer of financial assets: It occurs when investors purchase non-controlling interests in foreign companies or buy foreign corporate or government bonds, short-term securities or notes.

FMDQ, CBI, FSD AFRICA, Launch Nigerian Green Bond Market Development Programme

In Marchthe Parties formalised a partnership, which stemmed from the growing global recognition of the role sustainability plays in strengthening financial stability and supporting overall economic growth in a nation, through the signing of a Cooperation Agreement, to support the development of the Nigerian green bond market for a period of three 3 years.

The partnership is aimed at, among other things, enabling the OTC Exchange garner the necessary support required to promote impact investing as entrenched under the sustainable finance pillar in the FMDQ Debt Capital Markets Development DCMD Project, and at providing the necessary tools to allow the OTC Exchange continually pursue an economic development agenda to reposition and organise the Nigeria DCM to access a global pool of long-term climate-related capital.

The Ceremony brought together all the key financial market stakeholders regulators, issuers, investors, intermediaries, inter alia to discuss the concept of green bonds and the opportunity for Nigeria. Patience Oniha, represented by Mr. Roosevelt Ogbonna, amongst other capital market operators.

The Mechanics of a Bond Market in Nigeria

Whilst His Excellency, Mr. Akinwunmi Ambode, represented by Dr. He further stated that Lagos State had set out policies and programmes on tree planting, conservation, transportation systems, waste and water management that would focus on providing profitable investment opportunities and climate-friendly projects.

Commenting for one of the partners, Ms. She further stated that development of green bonds will help address environmental challenges as well as plugging the infrastructure gap. The Parties are expected to deliver a series of targeted educational and awareness campaigns in the coming months in support of their Nigerian green bond market development agenda.Nigeria’s capital markets lack the liquidity needed for a sustainable bond market that can fund growth and development in the public and private sectors.

This is a proposal to remedy market illiquidity and provide solution recommendations.

FMDQ in the News

Bond market development in Nigeria has surpassed other debt instruments like bank credit and equities market both in absolute terms and as a percentage of GDP (Debt Management Office, ). Financial development have been receiving research attention from both people in academics and policy.

Abstract: This paper examines the macroeconomic determinants of bond market development in Nigeria to address the persistent research question of whether bond market development is driven by macroeconomic factors or institutional factors in emerging markets. Time series data generated over the period of 32 years was.

The Mechanics of a Bond Market in Nigeria	New initiative to boost African Green Finance Posted:
Search form	The Programme is expected to support the development of guidelines and listing requirements for green bonds in Nigeria, develop a pool of Nigeria-based licensed verifiers to support issuers, facilitate engagement with extant and potential issuers and investors, and support broader DCM reforms that will have an impact on the non-government bond market in Nigeria.
FMDQOTC, CBI, FSD Africa Pioneer Nigeria’s 3-year Green Bond Market Development | SundiataPost	The FGN has an obligation to pay the bondholder the principal and agreed interest as and when due. They have no default risk, meaning that it is absolutely certain your interest and principal will be paid as and when due.
Access Bank, FMDQ, others launch Nigerian green bond market development programme	This is a proposal to remedy market illiquidity and provide solution recommendations. The economic environment in Nigeria is sophisticated and suitable to create a sustainable vibrant bond market that can be vital in economic development.

Jun 05,  · The Nigeria Green Bond Market Development Programme (NGBMD) was launched today, aimed at the development of a domestic green bond market in Nigeria and fostering the issuance of corporate/non-sovereign green bonds The programme is part of a wider cooperative partnership between FMDQ OTC, Financial.

In Nigeria, bond market has increasingly become important in the development of the Nigerian emerging economy. A bond is a long term financial debt instrument; a generic name for a tradable. The Parties are spearheading a 3-year Nigerian Green Bond Market Development Programme (the “Programme”) to, among others, create awareness and drive education required to integrate the principles of green financing into the Nigerian DCM, thereby facilitating the establishment and development of the green bond market in Nigeria.