The new management of the Securities and Exchange Commission (SEC) has introduced new initiatives to drive activities in Nigeria’s capital market, aligning with the Federal Government’s $1 trillion economy target.

SEC Director-General, Dr. Emomotimi Agama, announced this during his first post-Capital Market Committee (CMC) press briefing in Lagos over the weekend.

Dr. Agama emphasized the Commission’s commitment to encouraging more companies to list on the exchange, urging exchanges to actively attract new listings in support of the government’s economic goals.

He noted that increasing the number of listed companies would improve market making and liquidity.

Agama expressed optimism about unlocking the full potential of the capital market in alignment with the Renewed Hope Agenda of President Bola Ahmed Tinubu’s administration.

He also outlined initiatives aimed at making the Commission’s rulemaking process faster and more efficient.

“These initiatives include defragmenting the rules with the goal of codifying them into a comprehensive rule book,” Agama stated.

He added that the commission is currently updating rules on digital assets, establishing guidelines for the banking recapitalization exercise, and creating guidelines for onboarding Virtual Assets Service Providers.

These efforts aim to engage millennials, who make up 70 percent of the population, in the capital market.

The Director-General urged Capital Market Operators to invest in modern technology to improve trading platforms and data dissemination.

He suggested that introducing new products such as derivatives, REITs, and ETFs would help attract investors.

Agama also highlighted the importance of cybersecurity, noting that the Nigerian government is implementing policies and establishing a cybersecurity committee within the capital market to manage and disseminate critical information.

“These initiatives underscore the SEC’s commitment to fostering a secure and robust capital market environment in Nigeria,” he said.

Dr. Agama further emphasized the importance of strengthening regulatory bodies, enhancing enforcement, and adopting international best practices to improve market efficiency, transparency, and global competitiveness.

He highlighted the need to promote good corporate governance, encourage private sector investment, develop alternative assets, and incentivize corporate bond issuance as key factors for market growth and development.

Regarding significant developments in the Nigerian capital market for 2024, Dr. Agama revealed that the Commission had approved nine new issuances totaling ₦1.228 trillion, reflecting increased confidence in the market.

“In the fund management space, the Net Asset Value (NAV) of Registered Mutual Funds grew by 111.08 percent to ₦3.335 trillion, indicating strong and sustainable growth,” he added. (Nigerian Tribune)

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