E-Financial
NGX Moves to Reduce Trading Costs Through Technology
Temi Popoola, the Chief Executive Officer, Nigerian Exchange Limited (NGX), has revealed that the exchange is exploring ways to leverage technology to focus on reducing brokerage costs.
Popoola disclosed this while fielding questions from stakeholders at the MTN Capital Markets Day which held in Abuja recently.
He noted that NGX recognizes the high cost of trading in and out of Nigeria and added that it is looking at incorporating digital technology to enhance overall trading experience and make it more cost-effective for investors.
Popoola, while specifically stating that the exchange is focused on reducing brokerage costs, said this will encourage more participation in the stock market and attract a broader range of investors and added that the NGX wants to emulate other digital market platforms that offer zero-cost trading on their platforms.
He explained, “Looking at many other markets, there are many digital platforms that allow them to trade for free at zero cost and today there are people (brokerage) who charge around 130 basis points to do business and so we think that with digital and tech transformation, trading costs on NGX can be addressed.
Of course there are costs that we charge as a business but a lot of our stakeholders are looking to see whether lowering trading costs can be addressed whether in a short or long term and relax the costs to build the market.
Another thing that brings these costs are people who bring deals and issuances to the market and a lot of feedback has been that it is very expensive and so we think we will address these things”.
Weighing in on the spate of delistings which is currently ongoing in the market, the NGX boss, quoting PitchBook, said that Initial Public Offerings (IPOs) have witnessed a slowdown of more than 60 per cent in the last two years globally, adding that there has been a noticeable scarcity of smaller cap stocks on public exchanges due to various factors such as voluntary and involuntary delistings, mergers and acquisitions, and liquidations.
Emphasizing NGX’s strategy around delistings, Popoola said, “What most exchanges aim to do is replace those delistings faster than they occur, and that has formed the crux of our strategy at NGX.
“We have had notable listings within the last two years including BUA Foods, Geregu – which is our first power sector listing, MeCure Industries, VFD Group, and interestingly our first listed Investment Trust, Nigeria Infrastructure Debt Fund.
“NGX has experienced a remarkable surge in market capitalization, with new listings contributing over 10 per cent in the past two years and we think that there is a need for government advocacy and policymaking in enhancing listings in our markets”.
Whilst acknowledging the global availability of capital for sustainable initiatives, he further revealed that the exchange places a strong emphasis on sustainability and said it is planning to launch a sustainability framework and work with listed corporates to address current carbon footprints to promote responsible corporate behavior.
Nigeria Deposit Insurance Corporation (NDIC) has called for comments from financial services industry stakeholders in the country, policy makers and the general public towards the ongoing revision of the International Association of Deposit Insurers (IADI) Core Principles for Effective Deposit Insurance System.
The proposed revision launched by IADI in May 2025, is a significant step towards enhancing the resilience and relevance of deposit insurance frameworks in the face of an evolving global financial landscape.
Specifically, the revision is aimed at comprehensively addressing structural changes, including digital innovation, the growing role of deposit insurers in resolution, and lessons learned from the banking turmoil in March 2023, which is the most significant systemic stress event since the 2007-09 global financial crisis.
The IADI Core Principles are used by jurisdictions, including Nigeria, as a benchmark for assessing the quality of their deposit insurance systems and for identifying gaps in their deposit insurance practices and measures to address them.
The Core Principles are also used by the International Monetary Fund (IMF) and the World Bank in the context of the Financial Sector Assessment Programme (FSAP), to assess the effectiveness of jurisdictions’ deposit insurance systems and practices.
The first set of the Core Principles was issued jointly by the IADI and the Basel Committee on Banking Supervision (BCBS) in June 2009 while the document is subjected to periodic revision order to keep it up-to-date with evolving trends on the global financial system landscape.
As a founding and committed member of IADI, NDIC recognises the importance of the ongoing revision and hereby invites stakeholders and the general public to actively participate in the process by reviewing the document on the lin
Onafriq, Africa’s largest digital payments network, has celebrated a major milestone, connecting nearly 1 billion mobile money wallets and 500 million bank accounts across the continent.
According to a statement released by the company, Onafriq has evolved from a mobile money switch to a comprehensive omnichannel payments network, facilitating seamless transactions and financial inclusion.
The company’s network now connects 961 million registered mobile wallets and 464 million registered bank accounts, with over 2,000 cross-border payment corridors supported.
Speaking on the achievement, Dare Okoudjou, Founder and CEO of Onafriq, said, “We remain fully committed to connecting every individual and business in Africa with each other and the world.”
Okoudjou noted that the company has grown in lockstep with the continent’s digital evolution, from mobile money to bank accounts, remittances, and real-time trade.
As Onafriq embarks on its next chapter, the company aims to develop infrastructure with local relevance while maintaining the scale of its pan-African infrastructure.
A prime example is Nigeria, where Onafriq is developing a unique payments stack that combines the strength of its cross-border network with the regulatory and foreign exchange realities of one of Africa’s most dynamic economies.
The company is also exploring blockchain infrastructure and stablecoin integrations to facilitate near-instant, programmable payments, aligning with the objectives of the African Continental Free Trade Area (AfCFTA).
“We are increasingly focused on creating infrastructure with local depth,” Okoudjou said.
With extensive experience, wide reach, and a proven execution track record, Onafriq remains dedicated to building a payment infrastructure that unlocks prosperity across borders and within local communities.
United Bank for Africa (UBA) has informed its customers that, in compliance with a new directive from the Nigerian Communications Commission (NCC), charges for USSD banking services will no longer be deducted from bank accounts, effective June 3, 2025.
In a notice sent to customers, the bank explained that the charges would now be deducted directly from users’ mobile airtime balances, in line with the NCC’s newly introduced End-User Billing (EUB) framework.
It said the new model aimed to ensure transparency in USSD transactions and shift billing responsibility to mobile network operators.
According to UBA, each USSD session would now cost ₦6.98 per 120 seconds, saying that customers initiating transactions would receive a prompt to provide consent at the start of each session, and airtime would only be debited if the bank is available to process the request.
The bank advised customers who are not comfortable with the new billing arrangement to opt for other digital banking alternatives such as the UBA mobile app and internet banking platform, which remain fully operational and user-friendly.
UBA reaffirmed its commitment to providing secure and accessible digital services, and encouraged customers to choose the channel that best suits their banking needs.
The policy marks a significant shift in Nigeria’s digital banking ecosystem and is expected to address longstanding disputes over USSD service charges between telecom operators and financial institutions.
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