November 2, (THEWILL) – The Nigerian Exchange Limited (NGX) currently has 146 listed companies, leaving the Federal Government with 104 net additions to achieve its target of 250 by 2036. The goal represents a 71.2 percent increase in the number of listed companies over the next decade.
Taiwo Oyedele, Minister of Finance and Coordinating Minister of the Economy, announced the target at the National Capital Market Conference 2026 in Abuja as part of the proposed Nigerian Capital Market Master Plan 2026–2036. The plan also aims to increase equity market capitalisation from 33 percent of gross domestic product to at least 60 percent and expand retail investor participation from six million to 20 million.
The scale of the challenge becomes clearer against Nigeria’s wider corporate base. Osita Izunaso, Chairman of the Senate Committee on Capital Market, said Nigeria has more than five million registered companies but only about 151 listed firms. While not all registered businesses are eligible or ready to list, the disparity highlights the limited number that have entered the public equity market.
The ambition comes after a sharp rise in market value. Oyedele said equity market capitalisation had grown from less than N30 trillion in mid-2023 to approximately N160 trillion. But a larger market valuation does not necessarily mean more companies are raising fresh capital or that private businesses are increasingly willing to list.
The distinction is visible in the market’s fundraising figures. In 2024, 17 companies raised N6.135 trillion through new equity issues, including new listings and supplementary issues by already-listed companies.
Aradel Holdings and Transcorp Power were among the major new entrants, with listings valued at approximately N3.05 trillion and N1.8 trillion, respectively. The figures show that large transactions can add substantial market value, but they do not establish a sustained pipeline of new listings.
For private businesses, listing means balancing access to investors against the cost of public ownership. Companies must convert to public limited liability status, meet financial and shareholder requirements, disclose results and comply with continuing exchange rules. Owners may also have to sell part of their equity and accept greater scrutiny of business decisions.
The NGX has tried to lower the entry barrier through its Growth Board. Its entry segment sets a minimum market capitalisation of N50 million, requires at least two years of operating history in the usual case, and requires the public to hold at least 10 percent of each class of equity securities. The exchange’s published fees include a flat N250,000 application fee and N200,000 listing fee for the entry segment.
These exchange fees are only part of the cost. Companies still need audited financial statements, professional advice, and the systems to meet disclosure obligations after listing. The Growth Board also requires at least 21 public shareholders. A business owner must decide whether the capital likely to be raised justifies these preparations and the dilution of ownership.
Alternative funding remains a competitor. Bank loans allow founders to retain their equity but create repayment and interest obligations. Private equity provides capital in exchange for ownership and may bring investor influence over major decisions. Profitable companies can also expand using retained earnings without opening their accounts to public shareholders.
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The continued private ownership of businesses such as Flutterwave, Interswitch, OPay and Moniepoint illustrates the potential pool of established and fast-growing firms outside the domestic equity market. Their circumstances differ, however, and their private status alone does not show that they are ready or willing to list.
Oyedele said the government would use incentives to attract businesses rather than compel them. Tax relief, reduced transaction costs and faster approvals could improve the calculation, but investor demand is equally important. Companies are unlikely to list if they expect weak trading, poor valuations or limited access to fresh capital.
The government also wants retail investor participation to rise from six million to 20 million, an increase of 233.3 percent. A broader investor base could improve demand for shares, but participation must translate into active investment rather than registrations alone. Confidence in disclosures, regulation and shareholder protection will matter to both investors and prospective issuers.
Oyedele has also identified potential listings of the Nigerian National Petroleum Company Limited and Nigeria LNG Limited as opportunities to deepen the market. Such transactions could attract significant investor interest, but the 250-company target will require a broader pipeline than a handful of large state-linked businesses.
The measure of success will therefore extend beyond the number of companies admitted to the exchange. It will depend on how many raise new capital, how much they secure and whether their shares trade actively. With 146 companies listed on the NGX against a national base of millions of registered businesses, the opportunity is substantial. The unresolved question is whether incentives and market conditions will make public ownership attractive enough for businesses to take the step.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
