April 28, 2025/CSL Research
The Debt Management Office (DMO) of Nigeria has confirmed that discussions are currently underway for the country to be re-admitted into JP Morgan’s local currency emerging market debt index. This development was disclosed during the recently concluded Spring Meetings of the International Monetary Fund (IMF) and the World Bank. Nigeria was removed from the index about a decade ago, due to concerns over foreign exchange market liquidity, following control measures introduced by the former leadership of the Central Bank. We highlight that these controls created challenges for foreign investors attempting to replicate Nigeria’s weight in the index within their portfolios. However, according to the DMO, recent improvements in dollar liquidity, driven by ongoing market reforms may have restored Nigeria’s eligibility for re-inclusion.
Click here to download full report: CSL Nigeria Daily – 28 April 2025 – Economy.pdf
