Nigeria has revived plans to list its state-owned oil company, NNPC Limited, on the Nigerian Exchange, nearly a decade after the idea was first proposed.
President Bola Tinubu said on 6 August that the government intends to eventually list the entire company. NNPC controls assets estimated at $150bn-$153bn. A 10% stake could therefore create one of the largest listings on the Nigerian Exchange.
The move could deepen Nigeria’s capital market and increase transparency around the oil company, but analysts say NNPC must first strengthen its financial reporting and accountability.
Tinubu has pointed to Saudi Aramco as a model. Aramco’s 2019 listing remains the world’s largest IPO.
The proposed NNPC listing comes as Nigeria’s stock market is already performing strongly, with market capitalisation at about ₦158.5tn as of 7 August.
A planned $5bn listing of Dangote Petroleum Refinery could further boost the market.