Abuja - The Debt Management Office (DMO) has appointed Stanbic IBTC Brokers Ltd. as stockbroker to man Federal Government’s bond in the capital market.
The Director General of DMO, Dr Abraham Nwankwo, made this known in Abuja on Tuesday at the signing of the agreement between the two organisations.
He said the process of selecting the national stockbroker was transparent and that the Securities and Exchange Commission, the Nigerian Stock Exchange and the National Pension Commission were part of the selection process, among others.
Nwankwo said that the involvement of the three organisations and others had made the process acceptable and would help to improve the bond market.
He urged the stockbroker to adopt the best practice and be guided by the fact that there might be shocks in the market.
Nwankwo said the appointment of IBTC stockbroker to man government’s bond was also aimed at ensuring that the bond market was properly listed and accepted at the stock exchange.
Responding, Mrs Sola David-Borha, the Chief Executive Officer of Stanbic IBTC Bank, gave assurance that the company would carry out the function effectively.
She said the bank would educate the public on the issue of bond and ensure best practice, and noted that the capital market was deep and could accommodate shocks or turbulence.
The News Agency of Nigeria (NAN) reports that a result of the agreement, Stanbic IBTC Brokers Ltd. will now be responsible for providing price for Federal Government bond on the floor of the stock exchange to enable retail investors to buy or sell.
It will also liaise between the DMO, NSE, other stockbrokers and participants to ensure that all activities concerning the bond and Federal Government securities listed in the future are effective in the market.