Dangote IPO Shows Nigeria's Market Strength, Says NGX Chairman

Kwairanga, the Chairman of the Nigerian Exchange Group (NGX Group), says the Dangote Petroleum Refinery Initial Public Offering (IPO) shows that Nigeria is ready to raise big money through its capital market.

Mr Kwairanga spoke at the Fintech Money 20/20 Middle East event at the Riyadh International Conference Centre in Saudi Arabia on Wednesday.

The News Agency of Nigeria (NAN) reports that he believes the Dangote Refinery IPO is significant not just because of how big it is.
“It demonstrates the capacity of the Nigerian capital market to support businesses of substantial scale,” he said.

He added that this offer will help businesses raise long-term capital, expand ownership, and give both big and small investors a chance to grow with them.
“The Dangote Petroleum Refinery IPO sends an important signal about the capacity and ambition of Nigeria’s capital market.
The significance goes beyond the size of the transaction,” he explained.

Mr Kwairanga mentioned that this deal could inspire other large Nigerian and African companies to look at the capital market as a good way to fund their growth.
He pointed out that this is especially important as Nigeria’s market infrastructure and access continues to improve.

Market Developments

He talked about recent changes like the shift to T+1 settlement, longer trading hours, and Nigeria's return to the FTSE Russell Frontier Market from 21 September as important steps forward. These changes are helping to build a deeper and more investable market that connects companies with large amounts of capital.

Mr Kwairanga said NGX is also working to make sure that major public offers are open to regular Nigerians through different ways to access them.
He explained that investors can join public offers through stockbrokers, banks, and approved digital platforms, with NGX Invest helping connect issuers to these channels.
He said this initiative aims to expand ownership of Nigerian businesses and create opportunities for younger and first-time investors to join in the nation's economic growth.

Attracting Gulf Investors

When it comes to bringing more Gulf investors to Nigeria, Mr Kwairanga said the country has great opportunities in finance, telecommunications, energy, infrastructure, and industry. He said to attract this capital, Nigeria needs to be accessible, liquid, and have clear regulations that allow investments to flow easily in and out of the market.

He noted that better foreign exchange liquidity, T+1 settlement, and longer trading hours have made the Nigerian market easier to access.
He also said that Nigeria's return to the FTSE Russell’s Frontier Market would boost the market’s international profile.

Mr Kwairanga called for stronger ties between Nigeria’s market and Gulf sovereign wealth funds, asset managers, family offices, and other institutional investors.
He believes that more visibility for Nigerian companies and better direct engagement would help create a stronger investment link between Nigeria and the Gulf.
“For me, the opportunity is to build a stronger Nigeria-Gulf investment corridor, connecting significant pools of Gulf capital with credible Nigerian businesses and investment opportunities,” he said.

Investor Protection

The NGX chairman also highlighted the need for investor protection as more Nigerians start using their mobile devices to access the capital market. He said NGX Regulation provides independent oversight, monitors trading activities, enforces market rules, and manages investor complaints.

Mr Kwairanga stressed that transparency and educating investors are also important for protecting them and keeping their trust in the market.
He warned that having digital access to investment opportunities does not remove investment risks.
He urged first-time investors to use regulated channels and understand the securities they are buying.
“Technology can widen participation, but trust is ultimately what sustains a capital market,” he said.