TheCable

The federal government says it will strengthen the Securities and Exchange Commission (SEC) to reposition Nigeria’s capital market. 

Zainab Ahmed, minister of finance, budget and national planning, said this in a statement issued by the commission on Monday.

According to the statement, Ahmed spoke while receiving the revised Nigerian capital market master plan (2021-2025) in Abuja.

The document was submitted to the minister by the capital market master plan implementation council led by Lamido Yuguda, director-general, SEC, and other top officials of the commission.

Ahmed said the review of the master plan showed that the capital market growth resonates with the current administration’s commitment to deepening and re-positioning the country’s financial markets for private-sector-led development. 

She added that the ministry of finance has supported the master plan implementation efforts since its inception. 

“Our capital market is growing and evolving. To sustain this growth and eventually transform into a world-class capital market, transparency and investor confidence is key,” Zainab said.

“Investor confidence will accelerate the growth of our market and increase both domestic and foreign investor participation. To this end, we will continue to support and strengthen the regulator to effectively do its job of regulating and developing the capital market.

“I see the capital market as an important driver of our economic growth objectives and we will continue to support efforts to position our market where it deserves to be — a capital market that will broaden access to economic prosperity by enabling the emergence of financially responsible citizens, accelerate wealth creation and wealth distribution, provide capital to small and medium scale enterprises, and catalyze housing finance.

“As you chart the course for the next phase of the capital market master plan’s implementation, I assure you of this administration’s support and look forward to working with you and other stakeholders in the financial market to realize the plan’s outcomes.”

Ahmed further commended SEC, the implementation committee, and other stakeholders for the laudable accomplishments recorded so far in the master plan implementation journey, especially in the areas of facilitation of access to alternative investments like sukuk, and specialized funds; design of a national savings strategy; among others.

On his part, Yuguda, who also spoke at the meeting, said through the implementation of the 10-year Nigeria Capital Market Master Plan (2015 – 2025), the commission and other stakeholders have recorded significant milestones over the years.

Yuguda listed some of the achievements to include full dematerialisation of certificates, direct cash settlement, e-dividend mandate management system, among others.

He said the commission embarked on a comprehensive review of the plan, driven by PriceWaterHouseCoopers (PWC) with funding support from Financial Sector Deepening Africa (FSDA).

The comprehensive review of the master plan is now complete and a revised capital market master plan has been produced,” he said. 

“The revised plan has incorporated the views and aspirations of stakeholders in our market as well as best practices globally to produce a well-articulated strategic plan for the next four years.”