The Director-General of the Securities and Exchange Commission, Dr Eromomotimi Agama, has stated that the five banks that tapped the market to raise fresh capital were oversubscribed.

This was disclosed in a report by Bloomberg on Monday following an interview with the SEC boss in Lagos.

?The banks that came to the market are fully subscribed and even oversubscribed,? Agama said.

In the months following the directive of the Central Bank of Nigeria on fresh capital requirements for banks operating in the country, five Nigerian banks ? Guaranty Trust Holdings Plc, Zenith Bank Plc, Access Holdings Plc, Fidelity Bank Plc, and FCMB Group Plc ? have approached the market to raise funds via a combination of public offers and rights issues.

These lenders raised a total of approximately N1.26tn ($770m) in the last two months to meet the CBN?s requirements.

This fresh capital has been raised ahead of the two-year deadline that the regulator gave to the banks.

The SEC DG also added that younger investors are increasingly embracing the capital market.

He said, ?Young people are beginning to embrace the market, and we?re excited about it. We want to ensure domestic investors, particularly, are more involved in the market.?

In July, the SEC approved NGX Invest, a digital platform initiated by the stock exchange, which the banks utilised to pitch their share offers and attract young investors.

Meanwhile, at a stakeholder programme themed Financing the Future in Nigeria, organised by the International Finance Corporation and Milken Institute in Lagos, Agama opined that the capital market has been grossly underutilised in addressing the country?s significant infrastructure deficit.

Agama noted that considering the capital market?s manifold contributions in mobilising funds for other sectors of the economy, it is capable of financing Nigeria?s infrastructure deficit, provided adequate awareness is created.

?We have the capacity. The debt market in Nigeria has not been fully explored. It?s because people are not aware, and that is why we are out there informing them about the capital market. The capital market is the barometer of any economy.

?Nigeria has the ability to fund its capital market. To achieve the goal of mainstreaming the capital market into the national economy, we need to address our infrastructure needs, which are immense. With 36 states and the FCT requiring funds for roads, healthcare, airports, education, and agriculture, we are looking beyond $50bn to deal with this infrastructure deficit,? he said.

He added, ?The President of the Federal Republic of Nigeria, Bola Tinubu, has tasked us with growing a one-trillion-dollar economy. That is possible ? through the capital market, the mining sector, the oil and gas industry, construction, housing, and development. If you consider the amount of funding required to achieve this, you?ll realise it is possible. ?No? is not an answer for us in the capital market because it is achievable.? (The PUNCH)

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