The Federal Government has welcomed the decision by global index provider FTSE Russell to reclassify Nigeria’s capital market from “Unclassified” to “Frontier Market” status.
The new classification will take effect from the opening of trading on Monday, September 21, 2026.
In a statement signed by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, the Federal Ministry of Finance said the development marked Nigeria’s return to the global Frontier Market universe nearly three years after the country was removed from the index in September 2023.
Nigeria was excluded at the time amid persistent challenges with capital repatriation and foreign exchange execution, which affected the accessibility of the Nigerian market to international investors.
The ministry said the latest reclassification followed sustained improvements in foreign exchange liquidity, capital repatriation and overall market accessibility.
It attributed the development to the cumulative impact of the Federal Government’s macroeconomic and structural reform programme.
According to Oyedele, the decision represents an important validation of Nigeria’s reform efforts and provides a foundation for the next phase of development in the country’s capital market.
“The reclassification is an important validation of Nigeria’s reform trajectory and a foundation for the next phase of the country’s capital market development,” the minister said.
He added that the development sends a significant signal to international investors that Nigeria’s market is “open, orderly and improving.”
Oyedele said the government viewed the reclassification as a milestone rather than an endpoint, stressing that its ambition was to develop a deeper, more liquid and competitive capital market capable of achieving Emerging Market status in the near term.
The ministry commended the Securities and Exchange Commission, Central Bank of Nigeria, Nigerian Exchange Group, Central Securities Clearing System, capital market operators and other stakeholders for their contributions to restoring Nigeria’s position among global index providers.
It said coordinated efforts in regulatory reforms, modernisation of market infrastructure and investor engagement had played a key role in achieving the new classification.
The Federal Government further reaffirmed its commitment to working with market regulators and institutions to deepen market liquidity, expand participation and strengthen investor protection.
The government said its medium-term objective remained to position Nigeria for progression from Frontier Market to Emerging Market status.
“The Ministry will continue to support policies that enhance the depth, transparency and global competitiveness of Nigeria’s capital market as a key pillar of the nation’s economic transformation agenda,” Oyedele said.
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