Some capital market experts have criticised continued delays by the Federal Government in the appointment of boards for Ministries, Departments and Agencies (MDAs).
According to them, this is not good for the growth and development of the economy.
Some of the experts told the News Agency of Nigeria (NAN) on Monday in Lagos that government as a matter of urgency should appoint board members into MDAs, especially those concerned with financial management.
Mallam Garba Kurfi, Managing Director, APT Securities and Funds Ltd., suggested that boards for the Securities and Exchange Commission (SEC), National Insurance Commission, Pension Commission, should be constituted without further delay.
Kurfi said that delays in such appointments had adversely been affecting the efficiency of the agencies, leading to slowdown in economic activities.
He stressed that NAICOM, SEC and PENCOM were performing below capacity because of failure to appoint of the board members.
Kurfi noted that certain decisions that would need board approvals were still pending as a result of government’s inability to replace the members removed since February.
According to him, the development was affecting investors’ confidence in the nation’s money and capital markets.
Mr Ambrose Omordion, the Chief Operating Office, InvestData Ltd., said that negative macroeconomic indices had led to low liquidity, low production output and high unemployment rate.
Omordion said that investors were worried that the government had yet to take appropriate steps to address the present economic realities, particularly the current economic recession.
He called on government to introduce stimulus packages to woo the players in the real sector so as to encourage serious economic activities that could boost national output.
Meanwhile, a turnover of 934.91 million shares worth N6.36 billion were exchanged by investors in 12,352 deals last week against 1.29 billion shares valued at N9.30 billion traded in 15,258 deals.
The Financial Services Industry led the week’s activity chart in volume terms, accounting for 817.19 million shares valued at N4.08 billion traded in 7,268 deals.
The conglomerates sector followed with 46.37 million shares worth N86.73 million traded in 514 deals.
The third place was occupied by the Oil and Gas Industry with a turnover of 21.54 million shares worth N465.82 million transacted in 1,310 deals.
The All-Share Index dipped by 500.18 points or 1.77 to close at 27,835.22 against 28,335.40 achieved on Friday.
The market capitalisation, which opened at 9.733 trillion shed N172 billion or 1.77 per cent to close at N9.561 trillion due to price loses.
Lafarge Africa topped the losers’ chart in percentage terms for the week, shedding 13.87 per cent or N7.60 to close at N47.20 per share.
Wema Bank was placed second with a loss of 12.50 per cent or 9k to close at 63k, while Caverton lost 11.84 per cent or 9k to close at 67k per share.
On the other hand, 7UP led the gainers’ table in percentage terms, growing by 13.67 per cent or N19 to close at N158 per share.
FCMB Group followed with a gain of 8.41 per cent or 9k to close at N1.16, while Champion Breweries appreciated by 8.37 per cent or 21k to close at N2.72 per share