The African Development Bank Group (AfDB) has initiated high-level consultations with leaders of African stock exchanges and development finance institutions to forge a New African Financial Architecture, aimed at addressing the continent’s growing financing gap. These strategic discussions are intended to create long-term solutions that strengthen capital markets and drive inclusive economic growth across Africa.
According to the AfDB, the two-day meetings, held at the Bank’s headquarters in Abidjan, brought together over 50 heads of regional stock exchanges, private equity funds, venture capital managers, and development finance institutions, marking a historic first for the Bank. The consultations underscore the Bank’s commitment to making capital markets a central pillar of Africa’s economic transformation.
Nigeria, Africa’s largest economy, was prominently featured in the discussions, both through the Nigeria Trust Fund (NTF)—one of the AfDB Group’s three financing windows—and the growing role of the Nigerian Exchange (NGX) in advancing capital-market reforms across West Africa.
Sidi Ould Tah, President of the AfDB, emphasized the strategic importance of African stock exchanges, noting that they must become critical instruments for long-term development financing. “As the architects of Africa’s capital markets, you are custodians of our continent’s financial future,” Ould Tah told the assembled leaders, highlighting the untapped potential of capital markets in driving sustainable development.
The meetings focused on a broad range of priorities, including enhancing access to affordable long-term financing, expanding the continent’s investment funds, and mobilizing capital for sectors traditionally overlooked by investors—particularly small and medium-sized enterprises (SMEs), which account for nearly 90% of African businesses and over 60% of jobs.
The West African Regional Stock Exchange (BRVM), which lists numerous Nigerian-linked companies and works in partnership with the NGX through the African Exchanges Linkage Project (AELP), stressed the need for fundamental reforms to unlock pension funds and other institutional capital. BRVM CEO Félix Edoh Kossi Amenounvé highlighted that African pension funds, including Nigeria’s multi-trillion-naira pension sector, could play a pivotal role in supporting both governments and private enterprises if better capitalized.
Other participants included representatives from the Nairobi, Tunis, Casablanca, Cabo Verde, Ghana, and Central African Stock Exchanges, alongside officials from AELP, private equity managers, and development finance institutions. Key topics under discussion included sustainable finance, digitalization of stock markets, attracting global investment, improving regulatory convergence across African markets, and enhancing financial education for youth—an area where Nigeria has recently expanded initiatives through the Securities and Exchange Commission and NGX.
Tunis Stock Exchange Chairperson Sonia Ben Frej stressed the urgency of modernizing outdated regulations, while Nairobi Stock Exchange board member Donald Waweru Wangunyu called for stronger regional coordination to address persistent barriers hindering capital flow and market integration.
By mobilizing African exchanges, the AfDB aims to unlock institutional capital, improve liquidity, and foster financial inclusion, ensuring that Africa’s financial markets serve as a catalyst for sustainable economic growth and long-term prosperity.
