To unlock the trade and investment opportunities in West Africa, efforts must be made to build a regional coalition, the chairman of the Nigerian Exchange (NGX) Group Plc, Mr Umaru Kwairanga, has submitted.
Speaking at the inaugural West Africa Economic Summit (WAES) 2025, the NGX Group chief tasked stakeholders to harness the untapped potential of the region’s trade and commodity markets.
According to him, capital markets and commodity exchanges can transform West Africa’s abundant natural resources into organized, transparent capital that fuels industrialization and inclusive economic growth.
Delivering remarks during a high-level panel on Commodities as Capital: Regional Commodities Exchange and Reserves, Mr Kwairanga noted that despite West Africa’s wealth of raw materials, it continues to face a paradox of resource abundance coexisting with capital scarcity.
“As a nation and region, we are abundantly rich in raw materials, but often poor in capital outcomes. This paradox is not due to lack of resources, but due to the way these resources have historically been excluded from structured financial ecosystems.
“Commodities, whether agricultural, mineral, or energy, must be seen not just as tradeable goods, but as investable assets capable of powering industrialization, job creation, and macroeconomic stability,” he said at the event themed Unlocking Trade and Investment Opportunities in the Region.
Mr Kwairanga emphasized NGX Group’s commitment to building resilient market infrastructure that supports price discovery, clearing, settlement, and investor protection, systems that can underpin thriving regional commodity markets.
He highlighted NGX Group’s role in mobilizing capital for commodity value chains through IPOs, bonds, and structured funds, citing the success of NGX-listed companies like Presco and Okomu Oil as models for attracting long-term investment.
On the question of regional versus national commodity exchanges, Mr Kwairanga advocated a dual approach that combines the strengths of national platforms with the scale and integration benefits of regional frameworks.
“National exchanges address local needs and build depth, but for West Africa to unlock the full potential of commodity trade, we must connect these markets under a regional structure.
“Regulatory harmonization will be key and this is where NGX Group’s experience in governance, coupled with platforms like the African Exchanges Linkage Project and the Pan-African Payment and Settlement System, can help align standards and enable seamless cross-border transactions,” he stated.
Addressing liquidity challenges, the chairman outlined the need for harmonized rules, trustworthy infrastructure, product innovation, and incentives to drive participation, calling for public-private partnerships and regional integration to deepen market liquidity and ensure efficient price discovery.
Beyond the panel discussions, Mr Kwairanga commended the vision of President Bola Tinubu of Nigeria and the Minister of Foreign Affairs, Mr Yusuf Tuggar, for spearheading the summit.
“There is power in unity and prestige in size. The great economic powerhouses of the 21st century, such as the United States and China have risen to prominence partly because of the scale of their markets. A united West Africa can achieve the same if we work together on initiatives like this,” he said, expressing optimism that the summit would produce actionable frameworks to reduce trade barriers, encourage regional investment, and fast-track economic growth across ECOWAS.
NGX Group, he added, remains committed to supporting cross-border investments, citing its participation in the African Exchanges Linkage Project and the increasing regional footprint of NGX-listed companies such as Dangote Cement, First Bank, Zenith Bank, Access Bank, and Ecobank.