Business
NGX positions Dangote Refinery IPO as pan-African investment opportunity
The Nigerian Exchange Group (NGX Group) says the anticipated Initial Public Offering (IPO) of Dangote Refinery and Petrochemicals is being positioned as an African investment opportunity.
Chairman of NGX Group, Umaru Kwairanga, disclosed this at the London Africa Summit on Friday, which focused on strengthening business and investment ties.
Mr Kwairanga, in a statement on Saturday, said NGX had engaged stock exchanges across Africa to broaden participation in the planned offer and deepen regional capital market integration.
“We want to consider the Dangote Refinery offer as an African offer and not a Nigerian offer.
“That is why we invited stock exchanges from across the continent to Lagos and took them to the refinery to see what has been built,” he said.
He said representatives from Kenya, Ghana, South Africa and other African countries visited the refinery to assess its operations and investment potential.
According to him, investors increasingly seek tangible evidence and growth prospects before committing capital.
“Investors are not looking for stories. Investors are looking for evidence, prospects and projections, and that is what we are bringing from Africa,” he said.
Mr Kwairanga described Africa as one of the world’s most attractive investment destinations, citing its youthful population and expanding economic opportunities.
He noted that the Nigerian equities market delivered returns of more than 50 per cent in the first five months of the year.
“There are a lot of opportunities. With technology, investors can participate from anywhere in the world, including from the comfort of their homes,” he said.
Mr Kwairanga also highlighted the longstanding partnership between the Nigerian and London capital markets.
He described the relationship with the London Stock Exchange as instrumental in attracting global capital to Nigeria.
He said NGX had invested heavily in technology and market infrastructure to support efficient capital raising and improve market operations.
According to him, more than N4 trillion raised through recent bank recapitalisation exercises was facilitated by the exchange’s technology platforms.
Mr Kwairanga said NGX had undertaken international roadshows across the United States, Brazil, China and the United Kingdom.
READ ALSO: Dangote refinery raises processing capacity to 700,000 barrels per day
He said the engagements were aimed at showcasing investment opportunities and strengthening investor confidence in Nigeria.
He added that recent reforms, including migration to a T+1 settlement cycle and extended trading hours, aligned the market with global best practices.
“We are bringing opportunities, growth and scale from Africa, while London is bringing global capital, international experience and investment depth.
“When these are combined, they create the confidence investors need to commit capital to the continent,” he said.
Mr Kwairanga expressed optimism that stronger collaboration between African exchanges and international financial centres would increase capital inflows.
He said the partnerships would also support economic growth and deepen capital market development across the continent.
(NAN)
The Federal Government says Fitch Ratings’ decision to revise Nigeria’s credit rating outlook from Stable to Positive reflects progress in economic reforms, foreign exchange market adjustments and efforts to strengthen the country’s external position.
Fitch announced the revision on 9 October, retaining Nigeria’s long-term foreign-currency issuer default rating at ‘B’.
In a statement issued on Saturday, the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said Fitch cited increased foreign exchange reserves, easing inflation and improved economic prospects among the factors supporting the outlook revision.
According to the minister, Nigeria’s gross foreign exchange reserves rose to $54.9 billion as of 25 September 2026, from $32 billion in mid-April 2024.
He attributed the increase to more formalised foreign exchange transactions, portfolio inflows, higher exports and remittances.
Fitch also projected that Nigeria would record a current account surplus equivalent to 6.4 per cent of gross domestic product in 2026.
Economic growth and inflation
The ratings agency projected that Nigeria’s real gross domestic product would grow by 4.3 per cent in 2026, compared with 4 per cent in 2025, with growth remaining above 4 per cent in 2027 and 2028.
Fitch expects non-oil activities to remain the main driver of economic expansion.
The projection comes as Nigeria’s economy recorded growth of 4.43 per cent year-on-year in the second quarter of 2026, according to the National Bureau of Statistics (NBS).
The figure was higher than the 3.89 per cent recorded in the first quarter of 2026 and the 4.23 per cent recorded in the corresponding quarter of 2025.
The World Bank’s October 2026 Nigeria Development Update projected average annual economic growth of 4.4 per cent between 2026 and 2028, identifying services and agriculture among the contributors to economic activity.
On inflation, Fitch projected an average rate of 15.4 per cent in 2026, less than half the level recorded in 2024.
The NBS reported that Nigeria’s headline inflation rate eased marginally to 15.39 per cent in August 2026, from 15.43 per cent in July.
The figures provide recent context for Fitch’s assessment of inflation, although the agency’s annual average forecast is different from the monthly inflation rate reported by the NBS.
Reserves, oil production and public debt
Fitch also noted developments in Nigeria’s oil sector, including crude oil production meeting the country’s OPEC target of 1.5 million barrels per day from May 2026.
Mr Oyedele said increased domestic refining was helping to reduce fuel imports and foreign exchange demand.
On public finances, Fitch expects Nigeria’s tax reforms to increase non-oil revenue relative to the size of the economy.
The agency projected that general government debt would average 32 per cent of GDP between 2026 and 2028, below the median of 56 per cent for countries with a ‘B’ rating.
Fitch also highlighted Nigeria’s domestic debt market and the banking sector recapitalisation exercise, noting that many banks had capital adequacy ratios above 20 per cent.
However, the agency identified persistent challenges, including inflation remaining above levels in peer countries, government revenue being low relative to the size of the economy, and interest payments accounting for a high proportion of government revenue.
The minister said the federal government would continue implementing reforms aimed at increasing revenue, improving spending efficiency, strengthening debt management and supporting non-oil economic growth.
Other rating developments
The Fitch decision follows other developments in Nigeria’s international credit assessments.
READ ALSO: FG to negotiate ₦1,350 petrol price ceiling as global oil shock drives pump prices
In May 2026, S&P Global Ratings upgraded Nigeria’s credit rating from ‘B-’ to ‘B’. In August, Moody’s revised its outlook on Nigeria to Positive while retaining its ‘B3’ rating.
Mr Oyedele noted that the government’s medium-term objective remained to improve Nigeria’s credit standing and work towards investment-grade status.
He said the administration would continue to focus on foreign exchange market reforms, tax revenue mobilisation, fiscal governance, more efficient public spending and growth in non-oil sectors.
The minister said its broader objective was to “translate economic reforms into jobs, food security, support for small businesses and improved living standards”.
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