Nigerian Exchange Group (NGX Group) has called for a more integrated approach to capital formation across Africa, connecting businesses with appropriate sources of financing at every stage of their growth to build globally competitive enterprises.
Group Managing Director and Chief Executive Officer of NGX Group, Temi Popoola, made the call at the Financial Times Africa Summit 2026 in London on Wednesday, October 21, during a panel session titled “Building African Champions – The Investment Case for Scaling SMEs.”
Popoola noted that capital markets have traditionally focused on large, mature companies ready to list, while promising businesses often require several rounds of financing before they can access public markets. “Historically, we have taken a sort of a top-down approach to look for big companies ready to go public,” he said, explaining that businesses typically progress from founder funding and support from friends and family to venture capital, private investment and, ultimately, public-market financing.
He observed that the growing availability of private capital, alongside fewer new listings and an increase in delistings across several markets, underscores the need for a more connected capital formation ecosystem. Rather than waiting for businesses to mature before engaging with them, capital market institutions must find ways to support promising enterprises earlier in their development.
This requires stronger connections between public markets and the broader investment landscape, including private equity, venture capital and institutional investors. Such linkages can help businesses access financing as they grow while creating potential exit opportunities for private investors through public listings.
Popoola also highlighted family-owned enterprises, describing them as “hidden champions” that could make significant contributions to African capital markets if supported to scale and access appropriate sources of capital.
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He identified receivables and invoice financing as another way capital markets can help ease funding constraints facing smaller businesses. By enabling companies to leverage invoices, receivables and purchase orders linked to larger corporate customers, these financing structures can help SMEs unlock working capital and sustain growth.
In Nigeria, the Nigerian Exchange Limited (NGX) Growth Board provides small-cap and growth-oriented companies with a pathway to raise long-term capital through the public market, supported by more flexible listing requirements. The Exchange is also working with institutions such as the Bank of Industry (BOI) to strengthen SME investment readiness through targeted engagements, capacity building, and greater awareness of capital market financing opportunities. These efforts support the development of a stronger pipeline of businesses capable of accessing public markets as they grow.
Popoola’s intervention underscores the importance of a connected financing ecosystem in enabling promising African businesses to transition into established enterprises, attract institutional investment and expand beyond their domestic markets. Achieving this requires collaboration across public and private capital providers, supported by capital markets equipped to facilitate sustainable business growth and broader economic development.
The Financial Times Africa Summit 2026 brought together business and financial sector leaders to examine investment opportunities and the conditions required to support Africa’s next generation of business champions.