Don't Miss


Home   >   Market - Finance   >   FG Agrees on Forbearance Package for Stockbrokers to Stimulate Stock Market

FG Agrees on Forbearance Package for Stockbrokers to Stimulate Stock Market

By on June 1, 2012

The Minister of Finance has disclosed that the Federal Government will provide forbearance package to stockbrokers in order to stimulate the stock market.

Speaking at the annual meeting of the African Development Bank in Arusha, Tanzania, the Finance Minister made the disclosure.

She said, “We are working on the forbearance; we have now agreed on it, and we are going to implement it. We are having discussions about how to do it.

“We must remember that we don’t want any moral hazard, we don’t want those stockbrokers who did the right thing to think that they are not appreciated or that they have been neglected. So, we must honour them too by looking at the type of forbearance to be accorded to the stockbrokers, who are having difficulty. But there will be forbearance and there will be some conditions attached to that, and we will spell that out.”

The capital market hasn’t quite recovered since the crash of 2008. Many Nigerian retail investors are too traumatized to return and the more sophisticated investors are not liquid enough to do so. Foreign investors comprise the largest beneficiaries of the gradual market recovery.