Abuja - Mr Emeka Madubuike, the President, Association of Stockbroking Houses of Nigeria (ASHON), on Sunday said that the Federal Government’s forbearance package for the capital market would be announced this week.
Madubuike, who disclosed this at a workshop for Capital Market Correspondents in Lagos, said that the salient issues surrounding the forbearance package had been resolved.
The forbearance package is a relief package promised by the government to assist operators who obtained margin loans to buy shares.
However, the value of the shares had been affected by the global economic turndown, which also affected the Nigerian Stock Exchange (NSE).
The forbearance package is to help stockbrokers offset the debts, estimated to be about N300 billion.
Madubuike, who spoke on ``The Role of Stockbrokers in a Recovering Market’’, said that discussions with relevant stakeholders on the forbearance package had also reached an advanced stage.
He said that ASHON would soon embark on an investors’ education campaign to sensitise investors to contemporary trends in capital market operations.
`This is because an educated investor is the most protected investor.
``We are aware that investor education is critical in driving and sustaining the recovery of the market," said Madubuike, who is also the Managing Director of Compass Securities Ltd.
Besides, Madubuike stressed that ASHON had put up a management framework that would help address complaints and grievances of investors.
He said that the framework would enable the Securities and Exchange Commission (SEC) to focus on more serious issues like those relating to ``wonder banks’’ and bigger capital market frauds.
Madubuike, however, underscored the need for stockbrokers to work with other operators to ensure the sustenance of the ongoing recovery of the capital market.
He said that the capital market operators were determined to the increase the participation of local investors in the capital market from the current five million to 70 million.