By Uche Uwaleke, has called for a shift in Nigeria’s borrowing strategy, advocating that borrowing plans should be linked to debt service ceilings rather than broad debt indicators like GDP.
Speaking at the 50th inaugural lecture of Nasarawa State University, Keffi, held yesterday, Uwaleke emphasized that exploring alternative external funding sources, such as the renminbi (RMB) market, would help secure better deals and reduce borrowing costs for the country.
On the state of the Nigerian capital market, Uwaleke acknowledged some progress in the past decade but highlighted several persistent challenges, including its small size relative to GDP (less than 15% of GDP), and a narrow issuer base dominated by a few companies, exposing the market to external shocks.
He noted that just 10 out of 151 listed companies account for over 60% of market capitalisation, calling for wider participation and more diversified listings to enhance resilience and boost the market’s contribution to economic development.
