Capital market raises ₦753bn via commercial paper issuances — SEC
Nigeria’s capital market saw commercial paper issuances exceeding ₦753 billion from April to October 2025, as reported by the Securities and Exchange Commission.
The regulator indicated that this increase reflects improved liquidity, strong investor interest, and enhanced confidence resulting from recent regulatory changes that have revitalized activity in the commercial paper market.
In a statement issued on Sunday, December 28, SEC Director-General Dr. Emomotimi Agama highlighted several key elements that reinforced investor confidence in the market throughout the year.
Agama remarked that the commercial paper market was among the most dynamic sectors during the analyzed period, providing essential short-term funding for companies in areas such as manufacturing, agriculture, and energy, among other vital economic sectors.
“Commercial paper issuance remained active, with over ₦753 billion raised to meet the short-term financing requirements across a variety of sectors,” he stated.
The SEC Director-General also mentioned that the broader debt market experienced significant transactions, including the ₦500 billion Climate Funding Special Purpose Vehicle and the ₦200 billion Elektron Finance bond issuance.
He noted that these transactions highlight a growing investor interest in infrastructure-backed and sustainable financing options.
“These numbers hold more meaning than mere figures; they signify confidence in our regulatory system and the durability of our market structure,” Agama remarked.
He emphasized that the robust performance of the commercial paper market is part of a wider range of capital-raising efforts approved by the Commission across debt, equity, and hybrid financial instruments during the reviewed period.
From April to October, the market showcased “remarkable depth and adaptability,” achieving significant transactions that emphasized its role in capital mobilization for economic advancement.
Agama also highlighted favorable macroeconomic developments—including Nigeria’s recent upgrade in sovereign credit ratings and its removal from the FATF grey list—as crucial factors that enhanced investor confidence.
“These accomplishments… indicate renewed trust in our economy. They are likely to draw increased investments and boost capital inflows,” he mentioned.
The SEC Director-General indicated that declining inflation has created opportunities for greater market innovation, urging operators to transition from policy declarations to tangible execution.
Commercial paper is a short-term, unsecured debt tool that companies utilize to quickly secure funding for working capital, typically with maturities of 270 days or less. The SEC reported that companies raised a total of ₦753 billion using this mechanism during the review timeframe.
In addition, Nigeria’s capital market is concluding 2025 on a historic note, with total market capitalization reaching ₦149.88 trillion as of December 24, just shy of the ₦150 trillion mark for the first time.
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