*Simpler market on the table
The new Director- General, Securities and Exchange Commission (SEC), Dr Lamido Yuguda, at the weekend vowed to implement strict enforcement regime and a zero tolerance regime on infractions as the new management at Nigeria’s apex capital market regulatory body seeks to improve investors’ confidence and experience in the market.
The Commission will also develop and implement strategies to make transaction process at the market simpler and flexible without compromising the integrity of the process.
Addressing his first media briefing after presiding over the first virtual meeting of the Capital Market Committee (CMC), Yuguda said the Commission would work with stakeholders to address the recurring problem of unclaimed dividend, assuring that the Commission will soon release a statement soon on unclaimed dividend.
He said his administration would emplace zero tolerance for infractions as cornerstone of its investors’ protection, noting that increased investors’ confidence and experience will lead to greater inflow of domestic funds into the capital market.
“We need to restore investor confidence and attract the retail and young investor into the market. Thus, we will ensure strict enforcement of our rules and regulations, strengthen our enforcement regime and clamp down on illegal operators luring unsuspecting investors with various Ponzi schemes,” Yuguda said.
According to him, to increase the visibility and attractiveness of the capital market, the Commission shall work towards maintaining an environment that is enabled by the appropriate regulatory framework, timely and affordable access to the market, zero tolerance for infractions, heightened investor confidence and awareness, innovative product development and good governance practices.
He assured that the new management will continue to implement the ongoing initiatives of the Nigerian Capital Market Master Plan and other related initiatives targeted at developing the capital market, noting that the new management will continuously seek ways of improving existing initiatives while introducing new ones, all to the benefit of market stakeholders.
He said the Commission would also lead discussions on the most appropriate ways to increase pension funds’ investments in the capital market.
He commended the resilience of the market and operators, pointing out that the continuous operation of the capital market during this challenging period of COVID-19 pandemic was largely due to the existence of business continuity plans of SEC, the Exchanges, Central Securities Clearing System (CSCS) as well as other operators in the market.
“One thing that was also emphasised at the meeting is the need for collaboration among market stakeholders to have a capital market of our dreams.
‘’The Commission is open to engagements with stakeholders that will foster new partnerships and strengthen our commitments towards the development and transformation of the capital market,” Yuguda said.
He outlined that his administration would remove complications and loopholes that tend to make the process of buying and selling as well as raising funds through the market cumbersome and sometimes frustrating.
He said the Commission would work with the government to create an enabling environment that allows the capital market to play its roles as the fulcrum of economic development.
