Two capital market operators on Monday urged the Federal Government to finance the country’s infrastructure projects through the Nigerian Stock Exchange (NSE) to boost the economy.
They told the News Agency of Nigeria (NAN) in Lagos that the government should finance medium and long term projects through the capital market for infrastructure development.
Mr Sola Oni, the Chief Executive Officer, SOFUNIX Investment and Communications Ltd., Lagos, said that the nation’s capital market had not been adequately utilised.
He stated that the capital market had the potential to accelerate the development of the economy.
Oni said that the major problem of the market was liquidity, adding that the government should generate the needed liquidity from the capital market for growth.
Mr Ambrose Omordion, the Chief Operating Officer, InvestData Ltd., Lagos, said that the capital market might rebound this week due to positive earnings by firms, barring unforeseen circumstances.
Omordion also called on investors to combine technical and fundamental analysis in making investment decisions to avoid unnecessary losses in the capital market.
NAN reports that the market indices last week dropped by 0.95 per cent due to profit-taking.
The market capitalisation lost N91 billion or 0.95 per cent to close at N9.478 trillion compared with N9.569 trillion posted in the previous week.
Also, the All-Share Index, which opened at 27,861.03 shed 264.21 points or 0.95 per cent to close at 27,596.82.
Cadbury topped the losers’ chart in percentage terms by 16.21 per cent or N2.54 to close at N13.13 per share.
It was trailed by Glaxosmithkline Consumer with a loss of 14.19 per cent or N2.61 to close at N15.78, while A.G Leventis dipped by 12.90 per cent or 12k to close at 81k per share.
Also, Caverton led the gainers’ table for the week in percentage terms by 13.16 per cent or 10 kobo to close at 86k per share.
NEM Insurance followed with a gain of five per cent or 4k to close at 84k, while Neimeth International Pharmaceuticals appreciated by 4.88 per cent or 4k to close at 86k per share.
In all, a turnover of 674.72 million shares worth N7.66 billion was exchanged by the investors in 12,290 deals last week.
This is against 1.16 billion shares valued N9.25 billion traded in 14,992 deals in the preceding week.
The Financial Services sector led the activity chart with 495.992 million shares, which was valued N2.767 billion traded in 6,522 deals.
The Conglomerates Industry followed with a total of 80.89 million shares
worth N95.21 million, transacted in 536 deals.
The third place was occupied by the Construction/Real Estate sector with a turnover of 32.48 million shares which was valued N18.49 million, achieved in 70 deals.