In a major move to enhance liquidity and strengthen Nigeria’s financial market infrastructure, FMDQ Group PLC has entered into a landmark partnership agreement with Frontier Clearing Corporation B.V. (Frontclear). The agreement was signed on June 12, 2025, in Amsterdam, Netherlands, marking a pivotal moment for the country’s financial ecosystem.
Frontclear, a development finance institution dedicated to fostering stable and inclusive interbank markets in emerging economies, will collaborate with FMDQ Group to introduce Cross-Border Money Market Products, leveraging their complementary expertise to deepen market efficiency and access.
The initiative is powered by FMDQ Clear Limited, FMDQ’s central counterparty subsidiary, which is tasked with delivering efficient clearing and third-party collateral management services. The collaboration is designed to reduce systemic risk, enhance transparency, and provide the market infrastructure needed to support complex, cross-border transactions.
According to Dr. Bola Onadele. Koko, CEO of FMDQ Group, the partnership aligns with FMDQ’s GOLD Agenda (Globally competitive, Operationally excellent, Liquid, and Diverse) and Nigeria’s broader financial market development goals.
“This partnership with Frontclear represents a significant leap forward in our mission to transform the financial markets into a vibrant ecosystem,” he said.
Philip Buyskes, CEO of Frontclear, also emphasized the long-term vision of the partnership.
“Our development ambitions are well aligned, and we look forward to building out our longstanding relationship with FMDQ,” he stated.
The agreement includes the deployment of Frontclear’s Tradeclear guarantee solution, which enhances domestic liquidity by de-risking secured transactions like repurchase agreements. This system will open access to a wider range of money market instruments and improve participation from domestic and international financial institutions, including smaller players who often face high entry barriers due to credit risk concerns.
By integrating internationally accepted structures and deploying advanced risk mitigation tools, the collaboration will also support price discovery, encourage investment, and improve the overall resilience of Nigeria’s financial markets.
The signing signals a shared commitment to financial inclusion, cross-border integration, and the establishment of globally aligned capital market infrastructure in Nigeria and across Sub-Saharan Africa.
