The Nigerian capital market recorded a landmark development on Wednesday as the Nigerian Exchange Limited (NGX) admitted its first-ever Commercial Paper (CP) instruments to trading, marking a significant milestone in the evolution of Nigeria’s short-term debt market.

The historic listing followed the admission of Series 1 and Series 2 Commercial Papers issued by Dangote Cement Plc under its N500 billion Commercial Paper Issuance Programme.

The two series, with a combined value of N119.87 billion, were officially listed on 18 February 2026, signalling the operationalisation of NGX’s Commercial Paper listing framework introduced last year.

Dangote Cement’s N19.95 billion Series 1 CP carries a tenor of 181 days and is scheduled to mature on 20 May 2026, while the much larger N99.92 billion Series 2 issuance has a 265-day tenor, maturing on 12 August 2026. Both instruments were issued at a discount and will be redeemed at par value of N1,000 at maturity.

The implied yields stood at 17.50 per cent for Series 1 and 19.00 per cent for Series 2, reflecting robust investor demand for high-quality, short-term corporate debt.

Market analysts say the strong subscription levels and competitive yields underscore sustained appetite among institutional and qualified investors for short-tenor instruments amid evolving liquidity conditions.

Commenting on the development, Vice Chairman of Highcap Securities Limited, David Adonri, described the listing as evidence of increasing sophistication within Nigeria’s debt capital market.

He noted that the transaction sets a pricing benchmark for future commercial paper issuances and reinforces investor confidence in well-rated corporate names.

The listing represents a strategic expansion of NGX’s product suite, deepening its fixed income market while enhancing transparency, liquidity and visibility for issuers seeking short-term funding.

By bringing commercial papers onto its trading platform, the Exchange aims to improve price discovery and provide a structured secondary market for instruments that have traditionally been traded over-the-counter.

Commercial Papers are unsecured short-term debt instruments typically used by corporates to finance working capital and other immediate funding needs. Their formal admission to trading on the Exchange is expected to foster greater transparency and broaden participation in Nigeria’s money market segment.

For NGX, the milestone reinforces its commitment to product innovation and market development, positioning the exchange as a comprehensive capital-raising and trading hub capable of supporting corporates across the funding spectrum, from equities and bonds to short-term commercial instruments.

With Dangote Cement leading the way, market operators anticipate that more corporates will leverage the NGX platform for commercial paper listings, further strengthening Nigeria’s domestic debt capital market and enhancing its global competitiveness.

Copyright © 2026 Nigerian Tribune Provided by SyndiGate Media Inc. (Syndigate.info).