Anyaoku canvasses mobilisation of capital market funds for infrastructure financing
Disturbed by the infrastructure deficit in Nigeria, former Commonwealth Secretary General, Chief Emeka Anyaoku, has urged the Federal Government to leverage the nation’s capital market for the growth of the economy.
Besides, Anyaoku stated that the recent move by the Central Bank of Nigeria (CBN) to collaborate with the Bankers’ Committee to bridge the gape infrastructure gaps was a good step in the right direction.
He said the partnership, which commences with the construction of four roads within Lagos, would boost performance of listed firms, especially those in the manufacturing sector.
Addressing the principal officers of the Chartered Institute of Stockbrokers (CIS) during a courtesy call on him in Lagos yesterday, Anyaoku explained that governments in developed economies utilise their capital markets to fund infrastructure.
He urged government at all levels to take advantage of the long-term investment opportunities in the market to raise funds for development projects.
The elder statesman noted that there was a growing need for government to mobilise private capital through the market to raise long-term funds for infrastructure development.
His words: “The capital market has important roles to play in the national economy. The managers of the capital market and the operators play pivotal roles. Developed countries did not just develop on the basis of government funding alone, but participation of the private sectors. I am happy that the Central Bank of Nigeria (CBN) is collaborating with the Bankers’ Committee on how to fund the huge infrastructure gap in Nigeria through Public Private Partnership (PPP).
“Many big companies in Nigeria are performing below average because of lack of resources.”
The resources provided by the government are inadequate. There is a need for mobilisation of private capital to enable the companies operate optimally.
Anyaoku warned against the adoption of a common currency in the West Africa sub-region.
He argued that It took European countries many years to achieve common currency, as the management of fiscal policies of member countries must be studied.
Earlier, the President and Chairman of Council of CIS, Adedapo Adekoje, said the visit was in recognition of Anyaoku’s service to Nigeria and to seek his participation in the institute’s activities as an elderly statesman.
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