Can West Africa unlock more investment by connecting its fragmented capital markets? Nigeria believes it can, and has proposed a regional framework designed to make it easier for governments and businesses to raise funds across ten countries.
Announced by Finance Minister Taiwo Oyedele at the S&P Global Ratings Africa Summit in Lagos on November 10, 2026, the proposal seeks to reduce the regulatory and administrative barriers that have limited cross-border investment within the region. Its objective is to create a more connected financial market where investors can access opportunities beyond their domestic economies.
One of the central proposals is a regional securities passport. Under this arrangement, companies approved to issue securities in one participating market could access other markets without repeating the entire regulatory approval process. This could reduce compliance costs, simplify market entry and give businesses access to a wider pool of investors.
The proposed framework covers Nigeria, Ghana, Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo.
Another component is a unified investor identification system that would allow investors registered in one participating market to purchase bonds and equities across the region without repeatedly completing onboarding procedures. Connected trading, settlement and payment infrastructure would also support cross-border securities transactions and improve the efficiency of regional investment.
The proposal further includes a regional local-currency bond index and a credit-enhancement facility intended to support infrastructure financing. These instruments could improve the visibility of regional debt markets and help address some of the risks that discourage investors from financing projects across national borders.
The economic opportunity is considerable. West African countries require long-term capital for transport infrastructure, energy development, industrialisation and digital connectivity. However, fragmented regulations, limited market liquidity and different settlement procedures often make it difficult for businesses to attract investment beyond their domestic markets.
A more integrated financial system could help address these constraints by widening the investor base and making it easier for companies to access financing. It could also strengthen the ability of regional markets to mobilise domestic savings for productive investments rather than relying excessively on external funding.
The initiative builds on existing integration efforts, including the West African Capital Markets Integration Council, the African Exchanges Linkage Project and the Pan-African Payment and Settlement System. Connecting these existing structures could provide a more practical route towards regional financial integration.
However, achieving this ambition will require more than a common securities passport. Participating countries must agree on disclosure requirements, investor protection, enforcement procedures and regulatory responsibilities. Differences in monetary arrangements and financial regulations will also need to be addressed to ensure that integration does not create additional risks.
Nigeria has indicated support for beginning with practical pilot arrangements involving Nigeria, Ghana and the regional BRVM exchange. This phased approach could help participating institutions identify operational challenges before extending the framework more widely.
For West Africa, the opportunity is to transform financial cooperation into a more accessible regional investment market. If implemented with credible safeguards, the proposal could improve access to capital, support infrastructure development and create new opportunities for businesses. Its real value, however, will depend on whether the proposed framework moves beyond policy discussions into systems that investors and businesses can use.
