The DCM, with focus on identifying and implementing ‘quick-win’ strategies, according to FMDQ, is sequel to extensive consultations with stakeholders in the Nigerian financial market space. They include the apex capital market regulator, the Securities and Exchange Commission (SEC) which set up the DCMD Project to ensure the effective implementation of the recommendations drawn from a recent DCM Workshop.
FMDQ explained that the DCMD Project, having received the support of SEC, has been officially launched with the aim of identifying and implementing strategies that will transform the nation’s DCM into a world-class functioning market by 2020.
“It draws strongly from SEC’s 10-Year Nigerian Capital Market Master Plan (NCMMP), with the DCMD Project seeking to fast-track the realisation of the DCM initiatives in the NCMMP. The vision of the DCMD Project is also aligned with the Financial System Strategy (FSS) 2020 initiative, which is aimed at making Nigeria one of the top 20 economies in the world by 2020.”
The project’s governance structure, according to the Securities Exchange, includes a project implementation team, consisting of three levels of implementation committees, that is the steering, transformation and sub-committees.
The committees are charged with the responsibility of brainstorming on the initiatives required for stimulating the market’s development and executing the DCM transformation roadmap, drawing from the experience of benchmark jurisdictions like Malaysia, Mexico, India, Singapore, South Africa, among others.
“At the end of the DCMD Project, it is expected that the Nigerian DCM will surpass its peers in Africa in terms of diversity of products (including plain vanilla products and derivatives), liquidity, credibility and transparency and indeed position Nigeria as the ultimate investment destination in Africa.
“FMDQ’s commitment to the transformation of the Nigerian financial markets is driven through its ‘GOLD’ (Global Competitiveness, Operational Excellence, Liquidity and Diversity) Agenda. It institutes the requisite financial market structures to drive transparency, governance, market oversight, credibility and market liquidity to power growth in the Nigerian financial markets with a view to protecting investor interests.
“The GOLD Agenda thus presents opportunities for reforms with far reaching implications for the development of the Nigerian financial market.” it added.
