Can Nigeria make BRIC?

By | October 13, 2010

Nigerian Stock Exchange building

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Check out this FT video report on what investors think of the current state of Nigeria’s financial sector.

The reform of the financial sector has been targeted mainly at the banking sector, with the federal government’s decision to buy non-performing loans off the balance sheet of troubled banks.

Some people, including the interviewee in the FT report, think that it should have extended to the insurance sector. I think the main problem is with the regulation of the financial sector in general. The DG of the Securities and Exchange Commission, Ms Arunma Oteh,  has been trying her best to sanitise a stock exchange that went wild. It seems that things are gradually settling down at the NSE, but unless things are sufficiently stable investors are going to be wary, and rightfully so.

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