The Capital Market Academics of Nigeria (CMAN) have urged the federal government to introduce fiscal incentives to encourage more companies to list on the Nigerian Exchange (NGX).

The president of CMAN, Uche Uwaleke, made the recommendation on Monday in Abuja at a press conference organised by the association ahead of its second Biennial Conference.

Mr Uwaleke said the incentives should target large indigenous companies and government-owned commercial enterprises to encourage public listing.

He proposed temporary tax incentives for companies undertaking initial public offerings during the early years after listing.

According to him, CMAN also recommends reducing the Company Income Tax for listed companies from 30 per cent to 25 per cent to encourage more public listings, strengthen corporate governance and improve transparency.

He said the proposed incentives would deepen the capital market, expand investment opportunities for Nigerians and enhance corporate disclosure and accountability.

Mr Uwaleke commended the Securities and Exchange Commission (SEC) and the NGX for reforms aimed at modernising the capital market.

“We applaud the successful transition to the T+1 settlement cycle, which aligns Nigeria with international best practices by improving market efficiency, reducing settlement risk and enhancing investor confidence.

“These reforms demonstrate the commitment of the regulators and market operators to building a globally competitive capital market capable of supporting Nigeria’s long-term development aspirations,” he said.

He, however, said more needed to be done to improve market liquidity.

“In this regard, we encourage a review of existing free-float requirements, where appropriate, alongside other measures capable of increasing the volume of tradable securities and enhancing market depth,” he said.

Mr Uwaleke expressed optimism that the SEC would soon unveil a new Capital Market Master Plan, describing it as a strategic roadmap for the next phase of the country’s capital market development.

He said the plan would position the market to contribute more effectively to economic diversification, infrastructure financing and inclusive growth.

The CMAN president urged the commission to ensure broad stakeholder consultation in implementing the Master Plan.

He also called for the deliberate involvement of CMAN members in developing actionable strategies arising from the plan.

Mr Uwaleke acknowledged improvements in key economic indicators, including increased investor confidence, a more stable foreign exchange market, stronger external reserves, a more resilient banking sector and record performance in the capital market.

He, however, stressed that the success of ongoing economic reforms should ultimately be measured by improvements in household welfare, business competitiveness, infrastructure, access to affordable credit, job creation and poverty reduction.

The theme of the conference is “The Nigerian Capital Market as a Catalyst for Equitable and Inclusive Growth”.

 (NAN)