Economy
Best Prop Trading Firms in Nigeria 2026
A typical trader’s risk appetite often increases once they’ve scored a few wins. The reasoning is that, if I take bigger risks, I may go home with a bigger paycheck. But risk appetite alone doesn’t increase the chances of higher earnings; you also must invest a lot more money.
This need for higher trading capital is a gap that prop trading firms seek to plug. They give skilled traders capital and then agree on how to split the gains. The tradeoff for you as a trader is that you often pay upfront fees for evaluation or instant funding, operate under strict guidelines, and may lose access if you violate risk limits. And this is why you must choose a firm with which you can have a healthy relationship. This article presents the top options in Nigeria.
List of best prop trading firms in Nigeria 2026
- OneFunded – the fastest growing prop firm in 2026, with easy and transparent trading rules.
- FundedNext – prop firm offering trader-friendly challenge models
- FTMO – prop firm known for strict rules and structured evaluations
- Topstep – a futures prop firm focused on discipline and risk control
- Take Profit Trader – a prop firm with simple evaluations and clear rules
1. OneFunded
| Year founded | 2024 |
| Headquarters | London, England, UK |
| Funding model | Evaluation/challenge |
| Max capital | $200,000 |
| Profit split range | 80% default, 90% after purchasing add-on |
| Primary markets | Forex, crypto, indices, and metals |
| Trading platforms | cTrader, TradeLocker, MT5 |
Challenge Structure
OneFunded’s funding model is exclusively challenge-based. That is, traders access a funded account with a simulated trading environment after passing the evaluation. You can choose between a 1-step and 2-step challenge and pay a one-time fee, which is also refundable. The table below shows a detailed summary of the firm’s challenge structure.
| 1-Step Challenge | 2-Step Challenge | 1F Limited Challenge | |
| Phases | 1 | 2 | 2 |
| Account sizes available | $2,000, $5,000, $10,000, $25,000, $50,000, $100,000, $200,000 | $2,000, $5,000, $10,000, $25,000, $50,000, $100,000, $200,000 | $2,000, $5,000, $10,000, $25,000 |
| Profit targets | 10% | 8% (Phase 1) 5% (Phase 2) | 7% (Phase 1) 4% (Phase 2) |
| Drawdown limits | Daily: 4% Maximum: 6% | Daily: 5% Maximum: 10% | Daily: 5% Maximum: 11% |
| Minimum trading days | 5 days | 3 days (per phase) | 2 days (per phase) |
| Trading period | Unlimited | Unlimited | Unlimited |
| Entry fees (per account size) | $2K: $29; $5K: $56; $10K: $107; $25K: $143; $50K: $215; $100K: $395; $200K: $699 | $2K: $23; $5K: $45; $10K: $89; $25K: $125; $50K: $195; $100K: $361; $200K: $650 | $2K: $25; $5K: $49; $10K: $92; $25K: $135 |
Payouts and Trader Support
This prop trading firm processes payouts on a 14-day cycle after requests, but you can shorten this period with a seven day add-on. And the available methods are cryptocurrency (USDT) for payouts below $1,000 and bank transfer for higher amounts.
According to our research, users find OneFunded as quite reliable. For example, the firm has a 4.4-star rating from 141 Trustpilot reviews. Most reviewers praise the firm for transparent payouts and fair trading conditions. Support is also quite responsive. We established that your queries will be addressed within 24 hours.
Strengths and Ideal Users
Our research established that OneFunded has a high pass rate, which could be due to its no-pressure environment. The unlimited challenge durations allow traders to strategize without time constraints. Also, the firm provides all the details on its website regarding trading rules, fees, and payout processes. OneFunded is best for Nigerian traders seeking accessible and supportive platforms with flexible conditions.
2. FundedNext
| Year founded | 2022 |
| Headquarters | Ajman, United Arab Emirates |
| Funding model | Evaluation with progression to a funded account; Instant funding |
| Max capital | $200,000 |
| Profit split range | Starts at 15% in challenge accounts, progresses to 90% in FundedNext accounts |
| Primary markets | Forex, indices, and commodities |
| Trading platforms | MetaTrader 4 and 5, cTrader, and Match-Trader. TradingView for analysis |
Challenge Structure
FundedNext offers two categories of funded trading programs, one for CFDs and the other for futures. The CFDs one is the broadest in terms of paths to funded status; there is Evaluation (2-step), Express (1-step with high target), Stellar 1-Step, Stellar 2-Step, and Stellar Lite (2-step). The table below summarizes the key features of these programs:
| Stellar 1-Step | Stellar 2-Step | Stellar Lite (2-Step) | Stellar Instant | |
| Account sizes available | $6k, $15k, $25k, $50k, $100k, $200k | $6k, $15k, $25k, $50k, $100k, $200k | $5k, $10k, $25k, $50k, $100k, $200k | $2k, $5k, $10k, $20k |
| Profit targets | 10% | 8%(Phase 1) 5%(Phase 2) | 8%(Phase 1)
4%(Phase 2) |
N/A |
| Drawdown limits | Daily: 3% Maximum: 6% | Daily: 5% Maximum: 10% | Daily: 4% Maximum: 8% | Daily: N/A
Maximum: 6% |
| Minimum trading days | 2 days | 5 days (per phase) | 5 days (per phase) | N/A |
| First withdrawal | 5 days | 21 days | 21 days | On demand |
| Performance reward | 15% | 15% | 15% | Up to 80% |
| Entry fees | $6k: $66; $15k: $130;
$25k: $220; $50k: $330; $100k: $570; $200k: $1,100 |
$6k: $60; $15k: $120; $25k: $200; $50k: $300; $100k: $550; $200k: $1,100 | $5k: $33; $10k: $60; $25k: $140; $50k: $230; $100k: $400;
$200k: $799 |
$2k: $60; $5k: $150, $10k: $300; $20k: $600 |
| Refundable fee | Full price for all account sizes | Full price for all account sizes | Full price for all account sizes | N/A |
For the FundedNext Futures product, the firm offers two regular challenge models (Rapid and Legacy), and one limited-time exclusive challenge called Bolt. Below are the key features:
| Rapid (1-Step) | Legacy (1-Step) | Bolt (1-Step) | |
| Account sizes available | $25k, $50k, $100k | $25k, $50k, $100k | $50k |
| Profit target(s) | $25K: $1,500; $50K: $3,000; $100K: $5,000 | $25K: $1,250; $50K: $2,500; $100K: $6,000 | $3,000 |
| Drawdown limits | Maximum (Trailing): $25K: $1,000; $50K: $2,000; $100K: $2,500;
Daily: N/A |
Maximum (Trailing): $25K: $1,000; $50K: $2,000; $100K: $3,000;
Daily: N/A |
Maximum: $2,000
Daily: $1,000 |
| Entry fee | $25k: $110; $50k: $200; $100k: $280 | $25k: $80; $50k: $150; $100k: $250 | $100 |
| Reset fee | $25k: $97; $50k: $176; $100k: $247 | $25k: $70; $50k: $132; $100k: $220 | $88 |
Payouts and Trader Support
Our investigation found that FundedNext processes payouts within five to 24 hours. In fact, the firm offers an extra $1,000 compensation for each delayed payout. First payouts vary depending on the challenge and market. For CFDs models like Stellar 2-Step and Stellar Lite, the initial withdrawal is available 21 days after funding; it comes down to five days for Stellar 1-Step, and on-demand for Stellar Instant. And when the process is successful, you can receive funds via RiseWorks, Confirmo, and crypto (USDT).
Trustpilot reviews, 54,551 at writing, give the firm a strong 4.5/5 rating. Most users commend FundedNext for fast and reliable payouts. And regarding customer support, most users state that it is professional and responsive. Our research can confirm this, and add that the chat function on the website worked better.
Strengths and Ideal Users
FundedNext offers the most comprehensive funded trader programs in Nigeria. Add to that performance rewards during challenges, unlimited time for evaluations, and news trading allowance. The firm also has flexible trading guidelines and the support is professional. The firm is best for forex and futures traders seeking high profit shares, news/event strategies, and rapid scaling without time pressure.
3. FTMO
| Year founded | 2014 |
| Headquarters | Prague, Czech Republic |
| Funding model | Two-step evaluation process |
| Max capital | $200,000 |
| Profit split range | Up to 90% |
| Primary markets | Forex, crypto, indices, and commodities |
| Trading platforms | MetaTrader 4 and 5, cTrader, and DXtrade |
Challenge Structure
Unlike OneFunded, FTMO has only one challenge, the FTMO Challenge. This is a two-phase evaluation process that leads to a funded FTMO Account. You must know that the funded account operates in a simulated environment, which means that the funds are fictitious but the profit splits are real money. The table below presents the key features:
| FTMO challenge account size | $200,000 | $100,000 | $50,000 | $25,000 | $10,000 |
| Profit target | STEP 1: 10% STEP 2: 5% | STEP 1: 10%
STEP 2: 5% |
STEP 1: 10%
STEP 2: 5% |
STEP 1: 10% STEP 2: 5% | STEP 1: 10% STEP 2: 5% |
| Max. daily loss | 5% | 5% | 5% | 5% | 5% |
| Max. loss | 10% | 10% | 10% | 10% | 10% |
| Min. trading days | 4 days | 4 days | 4 days | 4 days | 4 days |
| Trading period | Unlimited | Unlimited | Unlimited | Unlimited | Unlimited |
| Refund | Yes 100% | Yes 100% | Yes 100% | Yes 100% | Yes 100% |
| Entry fee | €1,080 | €439 (offer) | €345 | €250 | €89 |
Payouts and Trader Support
FTMO allows on-demand payouts after a minimum of 14 days from the first trade on funded accounts. It processes the payouts within 1-2 business days via bank wire, Skrill, cryptocurrencies, or instant card transfers like Visa Direct (up to $20,000). The firm doesn’t charge a cent on its platform during this process.
We established that FTMO’s customer support channels operate 24/7 in 20 languages. There is also plenty of community features, including a 100k+ member Discord, and a 400k-subscriber YouTube channel. The firm also offers plenty of educational material via FTMO Academy.
Strengths and Ideal Users
FTMO has one of the longest running trader funding programs in the sector. This speaks to its tenacity and relevance. Other strengths include robust educational resources and advanced analytics tools (e.g., Account MetriX, Trading Journal, etc.). We also learned through Reddit that the firm is reliable, operates transparently, and traders experience minimal slippage issues despite strict rules.
FTMO is best for experienced traders seeking a reputable, resource-rich platform with high capital access and scaling opportunities in Nigeria.
4. TopStep
| Year founded | 2012, rebranded from TopStepTrader to TopStep in 2020 |
| Headquarters | Chicago, Illinois, USA |
| Funding model | Evaluation with progression to a live funded account |
| Max capital | $150k in challenges; $750k across five Express Funded Accounts |
| Profit split range | 50% to 100% |
| Primary markets | CME Foreign Exchange Futures, CME Equity Futures, CME Agricultural Futures, CME NYMEX Futures, CME CBOT Agricultural Futures, CME CBOT Financial/Interest Rate Futures, and CME COMEX Futures |
| Trading platforms | TopStepX, NinjaTrader, Quantower, Tradovate, TradingView |
Challenge Structure
TopStep takes prospective traders through a primary challenge phase; the evaluation is called Trading Combine. Those who pass this stage proceed to the Express Funded Account. This is funded account that uses fictitious funds to hone traders’ skills. And the upside that you receive rewards for every successful trade. If the team and TopStep are satisfied with your skills, you may be called upon to operate a Live Funded Account.
The table below summarizes the account sizes you can choose at the Trading Combine stage; the structure is the same up to the Live Funded Account. Note that you can choose the “No activation fee” path or the “Standard” path.
| Path | Account Size (Buying Power) | Profit Target | Monthly Price | Max Loss Limit | Max Position Size | Activation Fee |
| No Activation Fee | $50k | $3,000 | $89 | $2,000 | 5 contracts | Free |
| No Activation Fee | $100k | $6,000 | $139 | $3,000 | 10 contracts | Free |
| No Activation Fee | $150k | $9,000 | $189 | $4,500 | 15 contracts | Free |
| Standard | $50k | $3,000 | $49 | $2,000 | 5 contracts | $129 (one-time, after passing) |
| Standard | $100k | $6,000 | $99 | $3,000 | 10 contracts | $129 (one-time, after passing) |
| Standard | $150k | $9,000 | $149 | $4,500 | 15 contracts | $129 (one-time, after passing) |
Payouts and Trader Support
TopStep starts rewarding traders at the Express Funded Account (XFA) stage. The first payout requires at least five winning days of $150 or more in profits, and you can request up to four withdrawals in a month. The firm processes payouts daily with instant deductions for quick access, though specific channels like bank transfers or other methods are handled via the platform with dedicated support.
Also, the firm offers robust educational resources such as in-depth strategy courses, daily TopStepTV broadcasts featuring expert insights, and personalized Coach T analytics. There is also a vibrant community through a large Discord chatroom with over 150,000 members and coaches, plus a Facebook group for networking and accountability. Customer support is accessible via 24/7 chat, weekday phone assistance, SMS, WhatsApp, and email options for prompt help.
Strengths and Ideal Users
TopStep specializes in the futures market, and, according to information on its website, it has funded more than 10,000 traders into live accounts for over 12 years. The Trading Combine feature is also a standout program that offers a streamlined single-rule path to a live funded account. Traders also enjoy features like TopStepX, a proprietary trading platform tailored for futures traders. As such, the firm is best for futures traders needing structure and coaching.
5. Take Profit Trader
| Year founded | 2021 |
| Headquarters | Windermere, Florida, USA |
| Funding model | Subscription-based evaluation with progression to a live account |
| Max capital | $150,000 |
| Profit split range | 80% for PRO Accounts; 90% for PRO+ Accounts |
| Primary markets | Futures and options contracts across Equity Indices, Energy, Metals, Currencies, Agriculture, Crypto, and Treasuries |
| Trading platforms | NinjaTrader, TradingView, Tradovate, Quantower, R Trader, MetaTrader 4, MetaTrader 5 |
Challenge Structure
Take Profit Trader uses a single-step evaluation process and upon passing, traders move to a funded PRO account. Traders get a test account at the evaluation phase, where they trade in a simulated environment. They don’t get a live environment until they graduate to the PRO+ account. The table below summarizes some of the key features of the different account types:
| Feature | TEST | PRO | PRO+ |
| Trading environment | Simulated | Simulated | Live |
| Withdrawals | None | Day one | Day one |
| Profit split | None | 80/20 | 90/10 |
| Maximum withdrawal amount | None | No max | No max |
| Buffer rules | None | Yes | None |
| Drawdown | End of Day | Intra day | End of Day |
| Consistency rule | Yes | None | None |
| Scaling rule | None | None | None |
| Broker rates | $5/$0.50 RT | $5/$0.50 RT | Broker rates |
And, you can choose a trading account from $25,000 to $150,000, the maximum allocation. The table below details the parameters of each account size:
| Account Size | Monthly Subscription | Profit Target | Max Position Size | Daily Loss Limit | EOD Trailing Drawdown |
| $25,000 | $150 | $1,500 | 3 contracts/
30 micros |
Removed | $1,500 |
| $50,000 | $170 | $3,000 | 6 contracts/
60 micros |
Removed | $2,000 |
| $75,000 | $245 | $4,500 | 9 contracts/
90 micros |
Removed | $2,500 |
| $100,000 | $330 | $6,000 | 12 contracts/
120 micros |
Removed | $3,000 |
| $150,000 | $360 | $9,000 | 15 contracts/ 150 micros | Removed | $4,500 |
Payouts and Trader Support
Once you graduate to the PRO account, Take Profit Trader offers payouts starting from day one. But your account balance must exceed the buffer zone (equal to max drawdown). You will get an 80% share of profits with a PRO account and 90% on PRO+ after 60 trading days. Our investigation showed that the firm processes payouts in 24-36 hours via Plaid (US banks), PayPal, or Wise. You can request withdrawals as many times as possible, and payouts are free over $250, and a $50 fee under that. And, KYC verification is required before first withdrawal using standard ID documents.
However, Tak Profit Trader does not offer educational resources such as those available at competitors. Instead, you’ll have to rely on help articles for rules and a Discord community for peer discussion. Customer support operates via live chat, email, and Discord.
Strengths and Ideal Users
Take Profit Trader’s single-step evaluation makes it stand out, especially for traders looking for an expedited path to funded accounts. It’s pricing is also competitive, and even the broker fees are affordable. However, a lack of educational resources makes the firm best for risk-tolerant and experienced futures traders only.
Comparative Analysis of the Best Prop Firms
| Firm | Max Allocation | Profit Split | Evaluation Steps | Best Feature | Trustpilot Rating |
| OneFunded | $200,000 | Up to 90% | Multiple paths (1-Step & 2-Step) | Unlimited challenge duration with a high pass rate | 4.4/5 |
| FTMO | $200,000 | Up to 90% | Two-Step Challenge | Robust educational resources and advanced analytics tools | 4.8/5 |
| FundedNext | $200,000 (CFDs); $100,000 (Futures) | Up to 90% | Multiple paths (1-Step & 2-Step; Instant) | Most comprehensive funded trader programs with news trading allowance. | 4.5/5 |
| TopStep | $150,000 | 50%–100% | Single-step Trading Combine | Futures specialization with coaching, community, and proprietary trading platform. | 3.6/5 |
| Take Profit Trader | $150,000 | 80% (PRO); 90% (PRO+) | Single-Step Evaluation | Day-one withdrawals on funded accounts | 4.4/5 |
Strategies for Selecting a Prop Firm in Nigeria
1. Align Challenge Rules with Your Trading Timeframe
Choose a firm whose evaluation period structure matches your typical position-holding duration. If you trade slowly or prefer no time pressure, opt for firms offering unlimited challenge durations. Ensure the minimum trading day requirement fits your natural trading frequency to avoid forced, suboptimal trades.
2. Calculate Your True Cost to Profitability
Look beyond the initial evaluation fee. Factor in the potential costs of multiple attempts, since most traders do not pass on the first try. Include all associated expenses such as platform fees, data costs, and reset charges to accurately compare the total investment required across different firms.
3. Verify Withdrawal Track Record
Conduct independent research on payout reliability. Check reviews on platforms like Trustpilot, Reddit, and trading forums for consistent patterns of praise or complaints regarding withdrawals. Pay attention to how firms respond to and resolve payment issues.
4. Test Rules Against Your Actual Trade History
Audit your past trading performance against a firm’s specific rules. Review your last 50-100 trades to see if your largest losses would violate daily or maximum drawdown limits. Confirm that your typical position sizes comply with the firm’s lot or contract limits.
5. Prioritize Rule Clarity Over Generous Splits
Select firms with explicitly documented and transparent trading guidelines. Avoid any with vague terminology like “reasonable trading” or rules subject to discretionary interpretation, as these can be used to disqualify you regardless of a high profit share percentage.
6. Evaluate Support Before You Pay
Proactively test the firm’s customer service before purchasing a challenge. Send pre-sales questions to gauge response time and quality. Explore available support channels like live chat, email, and community forums to assess their usefulness and the general sentiment among funded traders.
FAQs
- How difficult is it to pass a prop firm’s evaluation challenge?
Passing rates vary, but most traders do not succeed on their first attempt due to psychological pressure and strict risk limits. Firms like OneFunded report higher pass rates, often attributed to their no-pressure, unlimited-time evaluation structure.
- What are the most common reasons traders fail prop firm challenges?
The primary reasons are violating daily or maximum drawdown limits and failing to meet profit targets within the required minimum trading days. Emotional trading under time pressure and over-leveraging are also frequent causes of failure.
- Can I trade with multiple prop firms simultaneously?
Yes, most firms allow it, but you must manage separate accounts and adhere to each firm’s specific rules. However, ensure you can handle the psychological and operational complexity of juggling multiple evaluation criteria and risk limits.
- How quickly can I scale my account after getting funded?
Scaling policies vary. Some firms offer scaling plans based on consistent profitability, often increasing your capital by 25% to 50% after meeting specific profit milestones over a set period.
- Are profits from prop trading taxable?
Yes, payout profits are generally considered taxable income. However, tax treatment depends on your country of residence and the firm’s structure. It is advisable to consult with a local tax professional to understand your specific reporting obligations.
By Dipo Olowookere
Investors on the Nigerian Exchange (NGX) Limited bought and sold 5.119 billion shares worth N404.762 billion in 285,223 deals last week. This was significantly higher than the 4.433 billion shares valued at N306.143 billion traded in 255,589 deals in the preceding week.
This surge in activity level was driven by First Holdco, AVA Capital, and Access Holdings, which accounted for 2.308 billion units sold for N224.773 billion in 27,359 deals, contributing 45.09 per cent and 55.53 per cent to the total trading volume and value, respectively.
Data showed that financial equities led the activity chart with 3.918 billion units valued at N271.428 billion in 123,514 deals, contributing 76.55 per cent and 67.06 per cent to the total trading volume and value, respectively.
Services stocks followed with 203.203 million units worth N3.061 billion in 18,333 deals, and consumer goods shares closed with a turnover of 191.283 million units valued at N13.203 billion in 30,730 deals.
In the five-day trading week, 33 equities appreciated versus 57 equities a week earlier, 56 equities depreciated versus 38 equities in the previous week, and 58 equities remained unchanged versus 51 equities in the preceding week.
The best-performing equity last week was CMFC, which chalked up 22.78 per cent to trade at N3.88, Thomas Wyatt gained 20.66 per cent to close at N4.38, Consolidated Hallmark grew by 19.60 per cent to N8.36, Lasaco Assurance rose by 18.68 per cent to N2.16, and VFD Group increased by 12.21 per cent to N11.95.
On the flip side, the worst-performing equity was ABC Transport, which decreased by 18.44 per cent to N5.75. Fortis Global Insurance shrank by 16.13 per cent to N2.34, Tripple Gee slipped by 15.54 per cent to N2.88, Veritas Kapital slumped by 15.38 per cent to N1.43, and International Breweries crashed by 13.87 per cent to N11.80.
At the close of business for the week, the All-Share Index (ASI) succumbed to selling pressure, as it shed 0.84 per cent to settle at 245,283.68 points, while the market capitalisation retreated by 0.79 per cent to N158.326 trillion.
Similarly, all other indices finished lower apart from the premium, insurance and sovereign bond indices, which appreciated by 0.02 per cent, 1.72 per cent and 0.27 per cent, respectively.
By Adedapo Adesanya
The National Insurance Commission (NAICOM) has officially announced the completion of Nigeria’s 12-month insurance sector recapitalisation exercise, describing the accomplishment as a pivotal step that “signals the beginning of a new era for insurance in the country.”
Undertaken pursuant to Section 15 and other relevant provisions of the Nigerian Insurance Industry Reform Act (NIIRA) 2025, signed into law by President Bola Tinubu on July 31, 2025, the exercise aligns directly with the administration’s economic agenda aimed at building a $1 trillion economy by 2030.
Following a rigorous process of review, verification, and validation, NAICOM said in a statement on Sunday that 43 insurance and reinsurance companies have successfully satisfied the new prescribed Minimum Capital Requirements.
The confirmed non-life insurers include Zenith General Insurance Company Limited, Custodian and Allied Insurance Limited, NEM Insurance Plc, Heirs General Insurance Limited, Fin Insurance Company Limited, Tangerine General Insurance Ltd, Capital Express Indemnity Insurance Limited, and Sanlam-Allianz General Insurance Nigeria Ltd.
Others include Consolidated Hallmark Insurance Limited, Sterling Assurance Nigeria Limited, Unitrust Insurance Co. Limited, NSIA Insurance Limited, Rex Insurance Limited, Linkage Assurance Plc, Anchor Insurance Company Ltd, Sunu Assurances Nigeria Plc, KBL Insurance Ltd, International Energy Insurance Plc, Veritas Kapital Assurance Plc, NPF Insurance Company Ltd, Coronation Insurance Plc, and Prestige Assurance Plc.
In the life insurance segment, the successful companies are Custodian Life Assurance Limited, CHI Life Assurance Limited, Heirs Life Assurance Limited, Prudential Zenith Life Insurance Ltd, Stanbic IBTC Insurance Limited, Sanlam-Allianz Life Insurance Nigeria Limited, Capital Express Life Assurance Limited, Mutual Benefits Life Assurance Ltd, Enterprise Life Assurance Company (Nigeria) Ltd, and Coronation Life Assurance Limited.
The composite insurers, operating across both life and non-life insurance that satisfied the requirements comprise Leadway Assurance Company Limited, AIICO Insurance Plc, Cornerstone Insurance Plc, AXA Mansard Insurance Plc, LASACO Assurance Plc, Fortis Global Insurance Plc, Industrial and General Insurance Plc, and Great Nigeria Insurance Plc. Additionally, Mutual Benefits Assurance Plc also met the non-life threshold. In the reinsurance category, Continental Reinsurance Plc and FBS Reinsurance Limited were confirmed compliant.
The regulator noted that an additional eight insurance operators, which submitted evidence of compliance shortly before the statutory deadline, are currently undergoing final verification and regulatory review, with outcomes expected within 14 days.
NAICOM stressed that the milestone “represents a major step towards building a stronger, more resilient, adequately capitalised, professionally governed, and policyholder-focused insurance sector that is better positioned to support national economic growth.”
The recapitalisation exercise was guided by explicit regulatory directives issued by NAICOM to guarantee an orderly, transparent, and verifiable transition. Through its Guidelines on the Implementation of Minimum Capital Requirements for Insurance and Reinsurance Companies in Nigeria, the Commission defined eligible capital instruments, admissible assets, verification procedures, and supervisory expectations throughout the implementation window.
According to the regulator, the action has successfully “enhanced the financial resilience of operators, attracted substantial domestic and foreign investment, and rekindled strong investor confidence” across the industry.
The commission highlighted that the recapitalised market boasts enhanced capacity to underwrite larger and more complex risks across strategic sectors of the national economy. The expanded capital base is set to improve insurers’ ability to settle policyholder obligations promptly, absorb emerging macroeconomic risks, support long-term national infrastructure projects, and boost the sector’s competitiveness within regional and global markets.
Furthermore, the exercise provides a solid baseline for NAICOM to deepen its risk-based supervisory framework, ensuring regulatory capital remains appropriately aligned with the nature, scale, complexity, and risk profile of each licensed operator.
The regulator reaffirmed its commitment to consumer protection, sound market conduct, and expanded financial inclusion as implementation of NIIRA 2025 continues alongside technological modernisation.
“Our unwavering commitment remains to build a fair, stable, innovative, inclusive, and globally competitive insurance market that inspires public confidence and delivers lasting value to policyholders and the Nigerian economy,” the statement read.
By Adedapo Adesanya
The Manufacturers Association of Nigeria (MAN) has urged the federal government to shift its focus from periodic bailout packages to comprehensive structural reforms, warning that financial interventions alone will not revive Nigeria’s struggling textile industry.
The association argued that years of intervention funds have failed to restore the industry’s competitiveness because the core challenges confronting manufacturers remain unresolved.
The Director-General of MAN, Mr Segun Ajayi-Kadir, said the textile sector’s long-term recovery depends on tackling persistent structural constraints, including unreliable electricity supply, inadequate local cotton production, smuggling, obsolete machinery and limited access to affordable long-term financing.
According to him, while intervention programmes such as the Central Bank of Nigeria’s Cotton, Textile and Garment (CTG) Policy and the N100 billion Real Sector Support Facility have provided temporary relief, they have not addressed the underlying factors driving high production costs and weakening the industry’s competitiveness.
“Key challenges that need attention include the high costs and inadequacies of energy supply, rampant smuggling and counterfeiting, a lack of quality raw cotton, outdated machinery and inefficient loan structures. While aid funds may help with immediate needs like fuel and debt repayments, they do not resolve the core issues of energy supply, cotton availability or market access,” Mr Ajayi-Kadir said.
He outlined a package of reforms that, according to him, would rebuild the textile value chain and improve manufacturers’ competitiveness.
Among the recommendations is the development of gas-powered Independent Power Plants (IPPs) in key textile hubs such as Kano, Kaduna, Aba and Ogun, as well as the creation of industrial parks with shared infrastructure, including Effluent Treatment Plants (ETPs), steam utilities and machinery maintenance workshops to lower production costs.
Mr Ajayi-Kadir also called for measures to revive domestic cotton production through the introduction of high-yield, pest-resistant seed varieties and contract farming arrangements between textile mills and farmers to ensure a reliable supply of raw materials while reducing dependence on imports and exposure to foreign exchange volatility.
On financing, he urged the government to restructure industry loans by extending repayment tenures to between 10 and 15 years and permitting duty-free importation of modern spinning, weaving and printing equipment to boost productivity.
To protect local manufacturers from unfair competition, he advocated stronger anti-smuggling measures, including digital cargo tracking systems, border scanners and stricter enforcement of Executive Order 003 to prioritise locally produced uniforms and other government procurement.
The MAN chief further stressed the need to revive technical and vocational institutions to train textile engineers, weavers and computer-aided design (CAD) specialists capable of supporting a modern manufacturing industry.
He added that improving compliance with international quality and environmental standards would better position Nigerian textile manufacturers to benefit from export opportunities under the African Continental Free Trade Area (AfCFTA) and the African Growth and Opportunity Act (AGOA).
Mr Ajayi-Kadir pointed to Bangladesh, Vietnam and India as examples of countries that transformed their textile industries through sustained structural reforms rather than repeated financial bailouts.
According to him, Bangladesh emerged as the world’s second-largest garment exporter by providing duty-free access to production inputs and establishing special economic zones, while Vietnam built a globally competitive textile industry through reliable electricity, foreign direct investment and trade agreements.
India, he noted, strengthened its sector with PM MITRA textile parks, Production-Linked Incentive (PLI) schemes and investments in cotton production.
He maintained that Nigeria should concentrate on building a sustainable textile ecosystem instead of relying on temporary financial support for struggling manufacturers.
“With stable energy, reliable local cotton supply and protected markets, Nigeria’s textile industry has the potential to create millions of jobs and generate substantial foreign exchange earnings, just as Bangladesh and Vietnam have done,” he said.
