SEC’s strategic push to boost market participation despite economic ambitions
By Esther Agbo
In a bid to bolster Nigeria’s capital market and support the Federal Government’s ambitious $1 trillion economy target, the Securities and Exchange Commission (SEC) has intensified efforts to attract more companies to list on the Nigerian Exchange.
This strategic move is seen as a key component of the broader economic framework set forth by President Bola Ahmed Tinubu’s administration under the ‘Renewed Hope Agenda.’
During his first post-Capital Market Committee briefing in Lagos, SEC’s Director-General, Emomotimi Agama, underscored the critical need for expanding market participation.
He emphasised that increasing the number of listed companies would not only enhance market liquidity but also stimulate overall market activity, thereby unlocking the full potential of Nigeria’s capital market.
He said, “We must encourage more companies to list on the exchange to enhance market liquidity and overall market activity.
“Expanding market participation through additional listings will unlock the full potential of Nigeria’s capital market, which aligns with the Renewed Hope Agenda of President Bola Ahmed Tinubu’s administration.”
Agama highlighted the commission’s commitment to streamlining regulatory processes to facilitate quicker and more efficient rule-making.
He announced that the SEC is working on consolidating existing regulations into a comprehensive rule book, a move designed to provide greater clarity and ease of compliance for market participants.
Furthermore, the SEC is focusing on updating regulations related to digital assets, providing guidelines for the ongoing banking recapitalisation efforts, and creating a framework for onboarding virtual assets service providers.
These initiatives are aimed at aligning the capital market with global standards and preparing it for the future of digital finance.
In a call to action, Agama urged capital market operators to invest in advanced technology to modernise trading platforms and enhance data dissemination.
He stressed that embracing modern technology is essential for maintaining market competitiveness and ensuring efficient, real-time trading.
As part of its ongoing efforts to strengthen the market, the SEC has approved nine new issuances, amounting to N1.228 trillion.
Adding that the fund management sector has seen significant growth, with the Net Asset Value of Registered Mutual Funds increasing by 111.08 per cent to N3.335 trillion, signalling sustained growth and investor confidence in the market.
