MONDAY, JUNE 19, 2017 31 capital market RMB Nigeria unveils N80bn commercial paper Stanley Opara R AND Merchant Bank Nigeria Limited has received approval from FMDQ OTC Securities Exchange to register its N80bn commercial paper programme on the FMDQ platform. T h e pr o g r a m m e i s a debut for RMB Nigeria as CIS seeks govt’s participation in market recovery Stanley Opara T hE Chartered Institute of Stockbrokers is seeking increased government interest and participation in the capital market, which is faced with critical challenges. The institute said it was worried by the consistent absence of government’s representatives in capital market fora and its dire consequences on the market development. It is also clamouring for the utilisation of the capital market to fund the 2017 budget deficit as a demonstration of the government’s belief in the market’s capacity to provide long-term fund for capital projects. The President, CIS, Mr. Oluwaseyi Abe, said that governments at all tiers should attach value to workshops, summits and fora organised by the capital market operators by attending in order to have direct interface with the operators on issues of common interest. Corroborating Abe, the institute’s Second Vice- Chairman, Mr. Tunde Amolegbe, stated that the government officials driving the capital market policies were obliged to come closer to the operators in order to understand the workings of the market and how it could impact on the government policies. Amolegbe said, “The growth of most developed economies is financed through the capital market. It is obvious that our market has capacity to fund the deficit in the 2017 budget. Participating in the capital market fora would surely bring the government to the operators on a mutually agreeable ways by which the market can be utilised by the government. “There is no better fora than the ones organised by professional bodies such as the CIS.” The former President, CIS, Mr. Mike Itegboje, said when a former governor of Edo State, Lucky Igbinedion, attended the CIS Conference in the state in 2001, he developed interest in raising money from the capital market. Itegboje stressed that this underscored the imperative for government to play pivotal roles in any forum focused on capital market issues. The institute’s first Vice President, Mr. Adedapo Adekoje, explained that operators in the capital market should not give up in the demand for active participation of the government officials in the market workshops and related avenues as decisions taken at such a forum would stand better chance of implementation. an issuer in the Nigerian money markets, and will form an integral part of the bank’s funding strategy as it provides an avenue to successfully diversify its short-term funding sources, thereby delivering value to its shareholders. This programme positions RMB Nigeria to easily and quickly raise short-term finance from the debt market. The formal signing of the deal was conducted in Lagos, and officials of FMDQ as well as the joint lead arrangers, Standard Chartered Bank, Rand Merchant Bank Nigeria and Stanbic IBTC Capital, and law firms, Aluko & Oyebode and Banwo & Ighodalo, were in attendance. RMB Nigeria said it would issue several series of the CPs under the programme with a wide range of maturities, which should offer investors a variety of investment outlets while also providing the bank with more flexibility to meet the various funding demands of its growing client franchise. The CPs issued, it added, would also present investors with the benefit of capital security, portfolio diversification and competitive returns. All issuances will be quoted on the FMDQ OTC Exchange. RMB Nigeria, a member of the FirstRand Group, is an African corporate and investment bank and part of one of the largest financial services groups in Africa. The bank is rated A by both Global Credit Rating Company and Agusto & Co, reflecting the good asset quality, strong capitalisation and good liquidity profile. The bank, which offers clients innovative advisory, capital markets, financing and principal investing solutions, has funded various infrastructure, real estate resources, acquisitions and development projects in over 35 African countries in the past decade. The projects range from ports, dams and energy installations, to mines, railways and factories. The bank established a representative office in Nigeria in 2010 and opened a fully-fledged merchant bank in early 2013.