The forbearance package is to help them offset the debts estimated at about N300 billion
Operators in the capital market said they were worried by the delay in releasing the details of the forbearance package earlier promised by the Minister of Finance, Ngozi Okonjo-Iweala.
The forbearance is the relief package to assist some operators who took loans to buy shares whose value were affected by the crisis on the Nigerian Stock Exchange (NSE).
The forbearance package is to help them offset the debts estimated at about N300 billion.
Okonjo-Iweala has promised that the federal government would assist them to get out of the debt overhang as part of the solution to the crisis rocking the stock market.
The operators said on Monday that government?s silence on the crisis rocking the market was negatively affecting investor confidence in the market.
Rasheed Yussuf, the Managing Director of Trust Yield Securities Ltd., said that the market had remained unstable due to inability of the government to release the forbearance package.
Yussuf said that the capital market was showing signs of recovery, but still remained illiquid, adding that the forbearance package would kick start activities and strengthen confidence of stakeholders.
He said that the liquidity crisis in the market would linger until the problem of margin loans was resolved as brokers would continue to be inactive in the market.
David Adonri, the Chief Executive Officer of Lambeth Trust & Investment Company, said that macroeconomic forces and fundamentals of quoted companies always determined the trend of equities? prices.
?With inflation and interest rates at double digits, current macroeconomic environment favour fixed income investment,? he said.
He said that strict enforcement of rules and regulations by the capital market regulators would uphold market integrity and investor protection; adding that activities in the market were being propelled by individual investors who were taking positions and institutional investors who were balancing their books for end of the quarter.
Emma Ndidi, another stockbroker, said that some brokers were no longer active players in the market due to margin loans, while some of them had closed shops.
He said that slow pace of economic activities in the country also contributed to the ?instability? in the market.