By Abiodun Folarin
WorldStage– The Capital Market Academics of Nigeria (CMAN) on Monday threw its weight behind the Federal Government’s ongoing economic reforms, describing them as difficult but necessary measures required to restore Nigeria’s macroeconomic stability and lay the foundation for sustainable economic growth.
Speaking at a world press conference in Abuja, CMAN President, Professor Uche Uwaleke, acknowledged the hardships faced by households and businesses but maintained that the reforms initiated by President Bola Ahmed Tinubu’s administration were beginning to yield positive macroeconomic outcomes.
Addressing the conference on the theme, “The Nigerian Capital Market as a Catalyst for Equitable and Inclusive Growth: Bridging the Gap Between Macroeconomic Stability and Household Prosperity,” Uwaleke said Nigeria currently presents what many analysts describe as an economic paradox, with improving macroeconomic indicators yet persistent hardship at the household level.
“Macroeconomic indicators have shown remarkable improvement following far-reaching economic reforms, but many households and businesses continue to grapple with a high cost of living, limited access to affordable finance and declining purchasing power,” he said.
CMAN commended the Federal Government for implementing reforms that previous administrations had largely avoided, particularly the removal of fuel subsidy and the unification of the foreign exchange market.
According to the association, while both policies imposed short-term costs on businesses and consumers, they were necessary to address fiscal distortions, improve transparency, strengthen investor confidence and ensure long-term economic sustainability.
The body also praised the enactment of the Nigerian Tax Acts 2025, describing the reforms championed by the Presidential Committee on Fiscal Policy and Tax Reforms under Professor Taiwo Oyedele as a significant step towards creating a transparent, efficient and investment-friendly tax regime capable of boosting revenue generation and improving Nigeria’s competitiveness.
Highlighting recent gains in the capital market, Uwaleke noted that Nigeria’s equities market capitalisation surpassed N150 trillion as of June 26, 2026, delivering a year-to-date return of nearly 50 per cent and positioning the Nigerian Exchange among the world’s best-performing stock markets.
He also applauded the Central Bank of Nigeria (CBN) for clearing more than 7 billion dollars in outstanding foreign exchange obligations, ending Ways and Means deficit financing and successfully driving the banking sector recapitalisation exercise.
Despite these achievements, the CMAN president stressed that the ultimate test of economic reforms should be their impact on the welfare of ordinary Nigerians rather than improvements in financial indicators.
“Economic success should not be measured solely by rising stock prices, improving reserves or favourable sovereign ratings. The true measure of economic reform is whether it improves the welfare of ordinary citizens,” he said.
Uwaleke observed that inflation remains elevated at 15.9 per cent, with rural communities bearing the brunt due to insecurity affecting agricultural production, poor storage facilities and inadequate road infrastructure.
On monetary policy, CMAN urged the CBN to exercise caution in its continued tightening stance, arguing that persistent increases in the Monetary Policy Rate (MPR) could further constrain private sector access to credit since the current inflationary pressures are largely structural and cost-driven rather than demand-induced.
The association advised the apex bank to sustain development finance interventions through specialised Development Finance Institutions (DFIs), particularly for strategic sectors such as agriculture, manufacturing and exports.
CMAN also expressed concern over Nigeria’s N159 trillion public debt as at the end of 2025, urging governments at both the federal and sub-national levels to reduce reliance on commercial borrowing and instead utilise project-linked capital market instruments such as Sukuk and Green Bonds to finance critical infrastructure.
To deepen the capital market and encourage more companies to list on the Nigerian Exchange (NGX), the association proposed reducing Company Income Tax for listed firms from 30 per cent to 25 per cent as an incentive to promote transparency, corporate governance and investment.The body further welcomed the enactment of the Investments and Securities Act 2025 and called on the Securities and Exchange Commission (SEC) to leverage evidence-based academic research in developing the next Capital Market Master Plan to ensure the market drives inclusive economic growth and shared prosperity.
