Why Tinubu's historic closing bell ringing at NASDAQ holds great significance [EXPLAINER]

President Bola Tinubu on Thursday, September 21, 2023, rang the bell at the National Association of Securities Dealers Automatics Quotation System (NASDAQ), becoming the first president of an African nation to do so.

NASDAQ is the second major U.S. stock exchange known for its electronic trading platform and focus on tech companies.

In this article, we look into the reasons behind the significance of ringing the closing bell at NASDAQ.

Tinubu makes history as 1st African president to ring closing bell at NASDAQ Pulse Nigeria

1. Symbol of achievement

It is a nod to the hard work, dedication, and success of the entity or individual invited to participate. Companies often ring the bell when they reach significant milestones, such as going public through an Initial Public Offering (IPO), achieving a certain market capitalisation, or celebrating an anniversary. It's a way to publicly acknowledge and celebrate their accomplishments.

2. Visibility and exposure

The ceremony is typically broadcasted on financial news channels and websites, reaching a global audience of investors, stakeholders, and the general public. This exposure can be a valuable marketing tool, allowing Tinubu to promote Nigeria and our achievements to a broader audience.

3. Tradition and history

It symbolises the end of the trading day and the closing prices of stocks and securities. Being part of this tradition connects participants to the rich history of the financial markets, and it is a way of paying homage to the industry's legacy.

4. Investor confidence

It signals to investors and the financial community that a company or individual is recognised and respected within the industry. This increased visibility and trust can translate into stronger investor interest and support for Nigeria

5. Networking and relationships

The closing bell ceremony often involves networking opportunities with industry professionals, investors, and other key stakeholders. Building relationships and connections in the financial world can be invaluable for future business opportunities and collaborations. It is a platform for fostering connections within the industry.

6. Good international relations

For prominent figures such as presidents, prime ministers, or other dignitaries, ringing the closing bell at a major U.S. stock exchange like NASDAQ can symbolise international recognition and cooperation. It showcases a country's economic ties and engagement with global financial markets, reinforcing the importance of international relations.

Tinubu takes advantage of the historical moment

President Bola Tinubu rings the closing bell at NASDAQ in New York. [X:@NasdaqExchange] Pulse Nigeria

Tinubu, while performing the task, was in the company of some Nigerian business leaders and officials of the Nigerian Exchange Ltd. (NGX).

The President too advantage of historic moment, to advance his foreign investment push in front of financial markets at the famous stock exchange.

“It’s a great honour for me to be here. I am happy to bring Nigeria to your doorstep and I am honoured that we are here, today, with a bubbling Nigerian stock market that will evolve in the West African sub-region.

‘’The greatest economy in Africa is Nigeria. There is an immense opportunity in Nigeria, where you can invest your money without fear,” the President said.