By NKIRUKA NNOROM

Chief Executive Officer of the Nigerian Stock Exchange, NSE, Mr. Oscar Onyema, has excluded compulsion as one of the options available to the Exchange to get companies listed.

Speaking at one day annual capital market conference tagged ‘Increasing Liquidity for a US$1 trillion Capital Market’ organised by Businessday in Lagos, Onyema said that companies should be willing to comply with the post-listing requirements.

He also disclosed that the Exchange is set to launch additional five Exchange Traded Funds, ETFs, before the end of the year to increase the number of tradable products in the nation’s capital market.

He noted that discussions are on-going with some companies to float more ETFs and to also get more companies listed on the nation’s stock market.

Presenting a paper, “Achieving $1trillion Market Capitalisation by 2016,” he said that favourable government policies would enable the Exchange meet the $1 trillion market capitalisation target, adding that the capitalisation which currently stands at $101.64 billion, a 21 percent of the Gross Domestic Product (GDP), was not reflective of the economy.

He listed factors that could aid the achievement of projected figure to include provision of an enabling environment to encourage more listings on the Exchange and setting appropriate tax regimes among others.

Other things that would drive the market, according to him, include comprehensive and robust legal/regulatory framework, efficient technology systems, market structure to drive liquidity and depth, as well as investors and issuer protection.

Stating some of NSE efforts towards achieving $1trillion market capitalisation mark, he said “We have enhanced market surveillance; there must be just and equitable practices, and there must be continuous conduction of investors’ education and compliance through enforcement.”

Onyema further said that market marking rollout would be concluded this month, adding that the Exchange has received 19 applications for securities lending agents.

Also speaking, Director, Capital Markets Exotic UKN, Mr Luca Del Conte, said that the key characteristics of frontier market include illiquidity in securities trading, lack of market depth, under-developed financial markets and lack of products.