NGX Group seeks Brazil Stock Exchange experience in instituting world class regulation, others

The NGX Group said it aimed to collaborate with the Brazil Stock Exchange in establishing a vibrant online trading system, instituting world class regulation and driving growth in listing of companies.

This was stated by Chairman NGX Group, Alh (Dr) Umaru Kwairanga in his opening remarks when the team from the Exchange, Securities & Exchange Commission (SEC), among others visited the B3 Stock Exchange in Sao Paulo , Brazil.

Kwairanga noted that B3 Stock Exchange in the past tackled and surmounted similar challenges to the ones NGX Group is facing and looking forward to learning from its experience and partnering with the objective of moving forward very quickly.

“In a highly competitive, fast evolving borderless world, we think that engagements and collaborations will determine the survival and growth of exchanges such as ours and that there are many areas for cooperation between the B3 and the NGX.

“So, we are here to share; learn and to partner with you and look forward to tremendous benefits from both sides at the end of this visit,” he said.

He noted that the world recognises Brazil for its flair and exploits in the beautiful game of football but there is so much more to admire.

According to him, a lot has to be said about  the country’s unique history and the progress that the Federative Republic of Brazil has achieved in its over 200 years as a sovereign nation.

In  his words, “You have one of the most diverse ecosystem and population in the world. Your country has been able to utilise the abundant natural and human resources you are blessed with to build an economy that leads South America and is recognised as a leading economic powerhouse, a manufacturing titan and a key driver of the world’s economy.

“There are many similarities between Brazil and Nigeria. Just like Brazil leads South America, Nigeria has a diverse and hardworking population that is the largest in Africa. We also are fortunate to be blessed with a diverse ecosystem, clement weather, and abundant natural and human resources. Nigeria’s economy is driven by small and medium scale enterprises, but there is a large public sector with government owned enterprises controlling significant portions of the economy.”

He added further that, “In terms of exchanges, Nigeria has several but the first and foremost is the Nigerian Exchange Group which was founded more than 60 Years ago and presently has over Four hundred listed companies/securities and a market capitalization of almost N100 trillion.

“This is small compared to the capitalization of your board, but we are determined to increase our products, list many more companies, and multiply our numbers with the assistance/partnership of you and other exchanges, also entrepreneurial investors from around the world who recognise our potential.

“The Nigerian Stock Exchange as I said earlier, was established more than 60 years ago but it was just four years ago that we transformed from a mutual organisation limited by guarantee to a for Profit Public Company owned by and run for the benefit of thousands of shareholders. That transformation has come with various challenges in areas such as governance and regulation, technology, market expansion, product development, cost optimisation, and profitability.

“The B3 Exchange has a history of over one hundred years but has constantly updated its structure, regulations, and technology to stay ahead of the curve. That is why you have been able to attain a market cap of around a Trillion dollars with many excellent listed companies and millions of retail and wholesale investors.”