Dr. Umaru Kwairanga, the Group Chairman, Nigerian Exchange Group (NGX) recently led a delegation to Hong Kong to explore and deepen partnership with Hong Kong Exchanges and Clearing (HKEX).
In his address, Kwairanga said HKEX has established itself as one of the world’s leading exchange groups and an important gateway connecting global capital with Asia.
“At NGX Group, we share a similar ambition within Africa, to build globally competitive market infrastructure that supports economic development, innovation and efficient capital allocation.
We therefore see significant value in strengthening institutional co-operation between our two exchanges.”
The Future of Exchanges
“Capital markets are evolving rapidly. Exchanges today are no longer simply venues for trading securities. They have become platforms for economic development, technological innovation, sustainable finance and international capital connectivity. As this evolution continues, partnerships between exchanges will become increasingly important. We believe NGX Group and HKEX can jointly contribute to shaping stronger financial linkages between Africa and Asia.”
Moving forward, the NGX Group Chairman listed likely areas of present and future partnership and collaboration.
- Strategic Areas for Collaboration
Institutional Partnership
He said the NGX would welcome the development of a formal co-operation framework between NGX and HKEX that provides structure for long-term engagement.
Such co-operation could include annual executive meetings, technical working groups and knowledge exchange.
Cross-Border Market Development
Areas for collaboration may include:
- Cross-border listings
- Depositary receipt structures
- ETF development
- International investor access
- Capital market integration
Technology and Innovation
We are particularly interested in hearing from HKEX’s experience in:
- Exchange technology
- Artificial Intelligence
- Market surveillance
- Digital infrastructure
- Data commercialisation
- Product innovation
Sustainable Finance
Another area of mutual interest is sustainable finance.
Potential collaboration could include:
- Green finance
- Climate disclosure
- ESG reporting
- Transition finance
- Carbon market development
Capacity Building
The NGX will also welcome structured collaboration involving:
- Executive exchange programmes
- Technical secondments
- Joint research
- Staff training
- Market development initiatives
Africa–Asia Investment Promotion
There is also an opportunity for both exchanges to jointly promote investment opportunities:
- Annual investment forums
- Joint investor conferences
- Issuer roadshows
- Research publications highlighting opportunities across both markets
Some of the key talking points at the Hong Kong meetings included briefing on the Nigerian capital market, especially the NGX achievements over the last three years, expectations for the medium and long term, including the Dangote Refinery IPO, which also has an international dimension with likely interest by investors in Asia.
It is equally important to state that lots of Chinese companies are investing in Nigeria, especially in the construction and mineral resources sectors.
“The ones that are public could explore Nigerian dual listings in order to access local capital for expansion and make local investors stakeholders. I told them that NGX would be willing to listen and assist any interested companies. Also, a lot of Nigerian companies also patronise Hong Kong and mainland China, which are recognised as manufacturing powerhouses.”
Kwairanga also raised the issue of options that the HKEX and Banks, especially Bank of China could offer to assist them in financing issues such as forex and leverage.
“Hong Kong financial institutions should also consider opening representative offices in Lagos, Nigeria to improve trade flows between Nigeria and Hong Kong. NGX is also interested in learning from Exchanges such as Hong Kong, which have been in existence for much longer and would therefore be interested in training and study tours/exchanges with the Hong Kong Exchange.”
