Stockbrokers have said that the federal government’s austerity measure at cushioning the impact of the decline in the price of crude oil on the economy will have minimal effect on the capital market growth.
Speaking to newsmen, a stockbroker from Calyx Securities Limited, Mr. Tunde Oyediran said “Government initiative of carrying out austerity measures, which are limited now to paying tax on luxury goods and curtailing international travel within public service may not ordinarily have serious impact on the capital market.”
“However, the investors’ confidence on the state of our economy as it relates to our dwindling foreign reserves, security issues and election fear, may lead to apathy of foreign investors, who are major players in our market and other investing public,” he said.
