Nigeria Exchange to ease FX woes with dollar asset listing

The Nigerian Exchange Ltd has put forth a proposal to permit dollar-denominated bond listings on its platform according to reports from Bloomberg.

This move is considered a potential solution to alleviate the foreign currency challenges faced by companies in Africa’s largest economy.

The Nigerian Exchange is also contemplating extending this opportunity to include dollar-denominated stock listings.

CEO of Nigerian Exchange Ltd, Temi Popoola, speaking to Bloomberg said the primary goal of this proposal is facilitating companies operating from the country’s special economic free trade zones, as well as those generating revenue in foreign currency.

Popoola said: “Our primary objective is to enable these companies to issue bonds denominated in dollars and eventually offer equity in dollars as well. It could potentially address the challenges posed by fluctuations in foreign currency.”