The Director General of Nigerian Stock Exchange (NSE), Mr. Oscar Onyema, has predicted the recovery of the capital market before the end of 2012.

The Director who was speaking during a public hearing organised by the House of Representatives Committee on Capital Market, on Tuesday said that the reforms on the sector were still ongoing, adding that with government’s support, vibrancy would be restored in the market.

Onyema who appeared before the committee after a threat of arrest, noted that the new NSE provided a vehicle for long-term saving and borrowing, with efficient use of resources, thus, presenting  an incredible opportunity for investors.

“The NSE has emerged stronger and more focused and we assure our investors that the council and the management team will continue to carry out market reforms to champion the acceleration of Nigeria’s and Africa’s economic development,” he said.

He reiterated that unstructured management and ineffective internal processes were responsible for “NSE’s lenient approach to achieving its directive to oversee the capital market, the companies listed on the Exchange and the NSE’s licensed dealing members,” as corporate governance was weak as well.”

He told the committee that the council was entrusted to carry out a specific mandate of providing an efficient market by ensuring appropriate oversight of exchange management, stating that the priorities may have changed during the boom, which caused “a shift in focus.”

It would be recalled that NSE director refused to appear before the committee on the first day of the public hearing but had to do so under duress after the threat of arrest by the committee led by Rep. Herman Hembe, the public hearing which is still ongoing.