SEC Reveals How Digital Capital Market will drive $1 trillion economy target
The Securities and Exchange Commission (SEC) has announced that the digitization of the capital market will be instrumental in establishing new standards for capital raising in Nigeria. This initiative is expected to significantly contribute to the current administration’s goal of achieving a US$1 trillion economy.
Dr. Emomotimi Agama, the Director-General of SEC, made this statement during a press briefing and stakeholder engagement session on the NGX E-Offering Platform held at the Nigerian Exchange Group House in Lagos on Wednesday.
Agama highlighted that the digital transformation initiative will help address the persistent issue of unclaimed dividends in the country. “I would like to commend NGX Group and all partners on this development. This digital transformation initiative is a testament to our shared commitment to fostering an innovative, efficient, and reliable capital market, embedded in the Capital Market Masterplan,” he said.
He noted that leveraging technology will enable the Nigerian capital market to attract the younger generation of investors, enhance regulatory oversight, and create a world-class market. “This digitization will play a crucial role in setting a new standard for capital raising in Nigeria and enable the capital market to support the achievement of the US$1 trillion economy target of the current administration,” Agama stated.
Addressing the issue of unclaimed dividends, Agama explained, “Why should there be unclaimed dividends? This is going to help us address that problem. Any issues associated with payments can be managed because we are connected to the payment gateway and have the necessary payment infrastructure in place.”
Agama emphasized the complexity of the financial market infrastructure, which includes the payment system, depository, and exchanges, and reiterated that the digital transformation is a significant step toward modernizing the capital market and ensuring its efficiency and reliability.
