Nigeria’s capital market has experienced remarkable growth, with the All Share Index (ASI) more than doubling in capital gains within two years of President Bola Tinubu’s tenure. According to David Adonri, Vice Chairman of Highcap Securities Ltd., this growth has resulted in what is being referred to as the “Tinubu Boom.” The primary and secondary market indicators have witnessed sporadic growth, with indices reaching historic levels.
The recapitalization program has significantly boosted activities in the primary market, leading to increased issuances not seen since the pre-2008 global financial crisis era. Several listed companies, affected by the depreciation of the Naira, have approached the capital market to raise funds, deepening market activities. On May 26, 2023, the ASI was 52,973.88, but it rallied heavily after President Tinubu’s inauguration, appreciating by 45.4% to close the year at 74,502.58. The ASI has continued to soar, reaching 111,742.01, with the market capitalization doubling from N52.215 trillion in May 2023 to N119.58 trillion as of May 23, 2025.
Mr. Adonri commended the signing into law of the Investment and Securities Act 2024, which has enhanced regulatory oversight and safety in the capital market. However, he noted that while the President’s economic objective of achieving 6% annual GDP growth is laudable, the momentum has yet to fully gather pace. The highest quarterly GDP growth under this administration was 3.84% in the fourth quarter of 2024, which many analysts believe was largely inflation-driven and did not translate into real growth.
Mr. Adonri urged the government to harness the full potential of the capital market as a platform for private capital formation. He emphasized that if funds raised through the capital market were strategically deployed to critical sectors of the economy, particularly the productive industries, Nigeria can exceed the one trillion dollar GDP target by 2030. The capital market is seen as a limitless avenue for the mobilization of patient capital essential for the long-term structural transformation of the Nigerian economy.
The remarkable growth of Nigeria’s capital market is a testament to the effectiveness of President Tinubu’s economic policies. As the market continues to rally, with the ASI up by 8.53% year to date, it is clear that the government’s efforts to boost the economy are bearing fruit. However, there is still room for improvement, and the government must continue to work towards achieving its economic objectives. With the capital market playing a crucial role in the country’s economic growth, it is essential to ensure that it continues to thrive and support the development of the Nigerian economy.
