The Securities and Exchange Commission (SEC) has said that the Investments and Securities Act 2025 is a game changer that has the strong potential for stimulating growth for the Nigerian capital market and the economy.
The director-general of SEC, Dr. Emomotimi Agama stated this during an interview in Abuja on some of the highlights of the ISA 2025.
He said the new law is revolutionary in all respects as it provides the SEC the opportunity of retaining its signatory A status with the International Organization of Securities Commission.
Agama said this is significant because it allows other countries to benchmark the Nigerian SEC and capital market with other jurisdictions which will drive friendly investments and investors into the Nigerian capital market and also expand the capital market reach in Nigeria.
The SEC DG said another highlight of the new law is the increasing opportunities available for raising capital in the Nigerian capital market as well as the inclusion of the regulation of online forex for which a lot of Nigerians are involved in and the introduction of legislation that speaks to digital assets regulation in Nigeria.
According to him, this is huge because in the Nigerian population, the youths that are involved in this space are many, so providing clarity and providing legal framework and background to this is very essential for our growth. Beyond all of that we also have the Legal Entity Identifier being introduced into the Nigerian law which speaks to derivatives transactions.
“The commodities ecosystem is well featured in this law being able to provide regulation regarding the commodities ecosystem from the spot market onto the derivative market and the secondary market. We have also been able to remove by this law restrictions by states and local governments in their ability to raise capital and bring development to their states and of course municipal areas. So, this for us is very important.”
The SEC Boss emphasized that the provisions of this law are so huge and fundamental in creating a dynamic, resilient and strong capital market that will help in the development of the nation’s economy and help in facilitating Mr. President’s agenda for a one trillion-dollar economy
Agama said beyond all of that, the essence of this law is actually to create a dynamic inclusive and resilient capital market for the economy, adding that the Commission is committed to moving the capital market and the Nigerian economy forward.
He stated, “the capital market is strong enough to provide the much-needed funding needs for various sectors of the economy. It is one of the strongest you can think about, our ROI was one of the best in the world for last year. When you look at what the capital market has already done with the bank recapitalization which is still ongoing, you can agree with me that our market is strong.”
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