FTSE Russell said on Wednesday it would assess the status of Nigerian equities in its “frontier” markets index during its annual review in September.
“The continuing illiquidity in the Nigerian foreign exchange market is resulting in significant delays in the repatriation of U.S. dollars and hence the ability of index trackers to efficiently and cost effectively track Nigerian indexes,” the index provider said in a statement released on its website.
It also said that starting from June 20 corporate events such as IPOs and rights issues in Nigeria would not be reflected in the indices.
Rival index provider MSCI said in late-April that it would not change the status of Nigerian securities listed in its frontier benchmark.
Reuters
