Jude Chiemeka, Divisional Head of Capital Markets at Nigerian Exchange Limited (NGX), highlighted the pivotal role of Environmental, Social, and Governance (ESG) compliance, alongside data democratization, in attracting investments and boosting stock liquidity within the Nigerian capital market.
Chiemeka shared these critical insights during a dynamic panel session titled “ESG and Sustainable Finance; The Future of Investments,” a collaborative effort between the Securities and Exchange Commission (SEC) and the Financial Centre for Sustainability. The event took place on [Date] in Lagos.
As a member of the Sustainable Stock Exchanges Initiative, NGX places a strong emphasis on technological advancements that enable investors to access essential data seamlessly. Chiemeka emphasized the significance of facilitating access to various products in the capital market, with particular attention to the needs of retail investors.
In his address, Chiemeka offered invaluable advice to investors, urging them to consider companies that are ESG-compliant and provide transparent and high-quality disclosures. He stressed the undeniable correlation between ESG disclosures and corporate performance. Chiemeka stated, “Companies listed on the Exchange that demonstrate robust ESG compliance often gain access to more capital, attract a broader investor base, and even raise capital from foreign markets.
The NGX Premium Board proudly hosts companies that adhere to international best practices on corporate governance, meeting NGX’s highest standards of capitalization and liquidity. Compliance is not only a matter of prestige but also an indicator of sustainable growth, making these companies more appealing to both international and domestic investors.”
Acknowledging the efforts of the SEC, Chiemeka commended the establishment of a sustainable finance framework, particularly in relation to green bonds. He expressed admiration for Nigeria’s issuance of a green bond, solidifying its position as the first sovereign country in Africa to do so, and praised the SEC’s instrumental role in making this historic milestone possible.
In conclusion, Jude Chiemeka’s insights shed light on the paramount importance of ESG compliance and data democratization in fortifying the Nigerian capital market’s appeal to investors. NGX’s commitment to sustainable practices and technological innovation further underscores its dedication to promoting a robust and inclusive investment landscape
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