Tap N217trn Capital Market To Fund Infrastructure, SEC Urges FCTA

The Securities and Exchange Commission (SEC) has urged the Federal Capital Territory Administration (FCTA) to leverage Nigeria’s N217 trillion capital market to finance critical infrastructure projects in rail, housing, water, renewable energy and other sectors.

The director-general of the SEC, Dr Emomotimi Agama, made the call at the Abuja Business & Investment Summit and Expo 2026, where he outlined various capital market instruments that the FCT could deploy to fund its growing infrastructure needs without placing additional pressure on government budgets.

Agama said Nigeria’s capital market had grown to more than N217 trillion in total market capitalisation as of May 2026, comprising approximately N160.5 trillion in equities and N56.7 trillion in bonds.

According to him, the passage of the Investments and Securities Act (ISA) 2025 has further strengthened the legal and regulatory framework for sub-national governments, such as the FCT, to access long-term capital for infrastructure development.

He said Abuja’s rapid expansion demonstrated that sustainable economic growth was closely linked to investment in infrastructure, stressing that the FCT should develop innovative financing mechanisms capable of matching the long-term nature of infrastructure projects.

The SEC boss proposed that the FCT establish a long-term infrastructure bond programme backed by dedicated revenue streams, including ground rents, tenement rates, tolls, parking fees and land-use charges.

He explained that such a structure would enable the territory to raise funds for major projects and repay investors over time from predictable revenue generated by the infrastructure and associated economic activities.

“Abuja’s development demonstrates that economic growth is driven by investment,” Agama said, urging the FCTA to view infrastructure not merely as a budgetary expense but as an asset capable of generating long-term economic value.

He also urged the territory to explore green and sustainability-linked bonds to finance environmentally sustainable projects such as mass transit systems, light rail, solar-powered street lighting, waste-to-energy facilities and water infrastructure.

Beyond debt instruments, Agama proposed the establishment of an FCT Real Estate Investment Trust (REIT) to unlock the value of Abuja’s extensive property portfolio while creating opportunities for ordinary Nigerians and institutional investors to participate in the territory’s real estate market.

He further called on Abuja Investments Company Limited (AICL) to consider listing some of its businesses or establishing a listed infrastructure fund to mobilise private capital.

According to him, such an approach would allow the FCT to raise funds without directly increasing government debt, while also promoting stronger corporate governance, transparency and accountability in the management of public assets.

On the long-abandoned Millennium Tower project, which he said could require more than N400 billion to complete, Agama said the project should be viewed as an investment opportunity rather than solely as a financial burden on the government.

He proposed that the FCTA establish a special purpose vehicle for the project and structure it as an investment opportunity that could be offered to investors through the capital market.

The SEC DG also advocated an asset recycling programme for the FCT, under which completed and income-generating public assets could be concessioned or securitised to institutional investors.

He listed terminals, markets, commercial properties and the International Conference Centre among assets that could potentially be monetised, with proceeds reinvested into new infrastructure projects.

Agama said the approach would enable the FCT to unlock the value of existing assets instead of relying solely on annual budgetary allocations or additional borrowing to finance new projects.

He also proposed that Abuja pioneer a regulated tokenised municipal bond programme that would allow citizens to invest directly in specific infrastructure projects through their mobile phones, with investments starting from as little as N10,000.

According to him, the initiative could deepen financial inclusion while giving residents a direct stake in the development of infrastructure within the Federal Capital Territory.

Agama noted that recent reforms in the Nigerian capital market, including the migration to a T+1 settlement cycle and other measures designed to deepen market participation, had improved market efficiency and strengthened investor confidence.

He said the SEC remained committed to supporting the FCTA with the technical expertise required to structure, register and deploy appropriate capital market instruments for infrastructure financing.

The SEC DG assured the FCTA that the commission was ready to work closely with the territory to unlock private and institutional capital for infrastructure development.

He stressed that, given the size and depth of Nigeria’s capital market, Abuja had an opportunity to develop innovative financing models to accelerate infrastructure delivery while reducing dependence on annual government budgets.