Sanwo-Olu seeks stronger structures for Africa’s capital markets

File photo: Lagos State Governor, Babajide Sanwo-Olu. Photo: LASG

The Special Adviser on Corporate Finance and Strategic Investments to the Lagos State Governor, Akintayo Sanwo-Olu, has called for stronger financial structures to connect Africa’s capital with the continent’s growing pool of real-world assets, arguing that technology alone will not resolve the structural barriers to investment.

Sanwo-Olu made the case during a fireside chat at GITEX Nigeria 2026 titled “Access to Real-World Assets and the Rewiring of Capital Markets in Africa,” where he examined the growing interest in asset tokenisation and the potential of digital financial infrastructure to expand access to capital across African markets.

Tokenisation could make traditionally illiquid assets more accessible and easier to connect with investors, but its impact will remain limited without credible institutions, clear regulations and trusted market infrastructure, he argued.

Africa should therefore build on financial systems and infrastructure that already exist instead of attempting to create entirely new structures, according to Sanwo-Olu.

“The ideal thing for Africa is to leverage existing wheels that have been put together and use that as a platform to springboard the tokenisation process,” he said.

Existing global financial infrastructure, however, should serve as a starting point rather than the continent’s ultimate destination.

Sanwo-Olu described tokenisation as “not the final answer but a piece to the puzzle,” saying Africa’s longer-term objective should be to develop and own financial structures capable of serving its markets and reflecting their specific realities.

The comments come as interest in tokenised real-world assets grows globally. The concept involves representing physical or traditionally illiquid assets digitally, potentially making them easier to access, transfer and connect with investment capital.

The continent already has an expanding digital financial ecosystem, particularly through mobile money and digital payments, demonstrating that financial services can reach large populations through technology even where traditional infrastructure is limited.

The next challenge is connecting that flow of capital with productive assets.

“Moving from the existence of capital and assets to building effective mechanisms through which both can meet is the challenge,” Sanwo-Olu said.

He added that while tokenisation can increase the accessibility and liquidity of real-world assets, its effectiveness ultimately depends on the institutional, regulatory and market infrastructure supporting it.

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For investors, that means having confidence that capital is moving through credible systems governed by clear rules. For businesses and asset owners, it means having mechanisms through which assets can connect more efficiently with potential sources of funding.

“When you talk about access to capital, you have to ask: what structure are you putting in place to give investors confidence?”

Nigeria has already begun putting some of the regulatory foundations for digital financial markets in place.

Sanwo-Olu pointed to the Investment and Securities Act 2025, signed into law in March 2025, which formally classified digital assets as securities and gave the Securities and Exchange Commission regulatory authority over the sector.

He also cited the SEC’s Accelerated Regulatory Incubation Programme, which admitted seven digital-asset firms in July 2026, as evidence of efforts to establish a clearer framework for emerging financial businesses.

The regulatory developments are part of a broader effort to bring digital-asset activities within defined rules while providing greater clarity for investors and businesses operating in the sector.

Sanwo-Olu identified structure, access, clarity and trust as essential foundations for the next phase of Africa’s financial development.

Investors need confidence that their capital is entering credible systems, while asset owners need mechanisms that allow them to connect with potential sources of funding more efficiently.

The development of Nigeria’s digital-asset ecosystem also fits into a wider push to strengthen Lagos as a centre for financial and innovative activity.

Sanwo-Olu referenced the Lagos International Financial Centre as part of efforts to attract investment, deepen financial activity and position Lagos as a leading financial hub in Africa.

For African markets, the more fundamental task is building structures that allow businesses to operate within credible rules, investors to assess opportunities with greater confidence, and capital to move more efficiently into productive assets.

“Structure should come before scaling,” Sanwo-Olu said. “What really needs to be addressed is the trust deficit and access, and if we are able to put the right structure in place that gives confidence, credibility, and of course the sky is the limit.”