Senate committee seeks N10bn fund for capital market literacy

From Adesuwa Tsan, Abuja

The Senate Committee on Capital Market has asked the Minister of Finance and the Coordinating Minister of the Economy, Mr. Wale Edun, to set aside a N10 billion “Special Fund” to finance “literacy development” to boost the Nigerian Stock Market.

The senators made the demand during a 2024 budget defence meeting by the Securities and Exchange Commission (SEC) at the National Assembly on Tuesday.

Chairman of the Committee, Sen. Osita Izunaso (APC, Imo West), in his opening remarks, noted that the Nigerian Stock Market is undersubscribed, with only five million Nigerians trading in it. He also noted that barely 155 companies are listed on it, adding that though it could be said to be recording progress, the stock market performance is “nothing to be proud of.”

He, therefore, requested that Minister Edun set aside N10 billion to enlighten Nigerians on the benefits of the stock market in order to make them more interested and boost their confidence in investing in companies on the exchange, in view of the bad experience of the past when money was lost without compensation.

“The capital market is not as well as people perceive it. It is sad to know that only about five million out of hundreds of millions of our vast population are in the stock market. That is not something to be proud of. Only about 155 companies are listed in the capital market.

“I believe that we will require a special fund to finance literacy development. It does appear to me that Nigerians are not aware of the enormous benefits accruing to them in the capital market.”

He reminded the minister that the National Assembly had “done their own bit” to reposition the capital market by passing the Investment and Securities repeal and re-enactment bill, which is awaiting the assent of the president.

Responding, the Finance Minister disagreed with the senator. Highlighting some gains of the Nigerian stock market, he said it grew by 37% last year and has already recorded “about 1.8%” in 2025.

“This growth is due to the confidence that investors have in this economy,” he stated.

Edun further said, “What is key is savings. What is key is that the Nigerian economy has money that can be saved long term,” in reference to the N20.5 trillion pension savings as of December 2024.

After further questions and answers, Sen. Izunaso returned to the N10 billion literacy development fund demand.

“Thank you so much, Hon. Minister, for all your explanations. At least, we are glad to know that 2024 capital releases are up to N600 billion. Thank you for that. Hon. Minister, I just conferred with my colleague, the Chairman of the Committee on Finance, and other members of the committee, and we are of the opinion that the Hon. Minister of Finance should approve a N10 billion intervention for a special fund for literacy development in the capital market because that is where the problem is.

“So, I have just conferred with him now and other colleagues, and they said we should request you to approve N10 billion, and the capital market will blossom.”