At the Capital Market Committee (CMC) meeting in Lagos on Monday, Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, stressed the critical role the capital market will play in realizing the nation’s ambitious goal of becoming a $1 trillion economy.
Edun, represented by Minister of State for Finance, Dr. Doris Uzoka-Anite, reflected on the transformative changes in the capital market since 2015, highlighting the improvements in governance, the introduction of new products, a stronger regulatory framework, and increased investor participation.
Edun pointed out that the Capital Market Master Plan (2015-2025) has significantly contributed to enhancing the market’s contribution to the national economy. The plan has helped develop a sophisticated market structure, improve competitiveness, and align with the country’s broader economic reform agenda.
One of the key components of the revised master plan, according to Edun, is its focus on digitalization, innovation, sustainability, and financial inclusion, which are vital for capital formation.
This approach, he explained, aligns with the overall goals of economic diversification and wealth creation. He also mentioned the recent passage of a new act designed to modernize Nigeria’s legal and regulatory framework, streamline enforcement mechanisms, and address emerging areas such as digital assets and crowdfunding.
The Minister emphasized that the new regulatory framework is expected to foster deeper market participation while ensuring robust regulatory coordination. He highlighted the government’s commitment to creating an enabling environment for private sector innovation, making the capital market a vital vehicle for economic inclusion and long-term resilience.
Edun also noted the strong economic growth in 2024, largely driven by the fiscal improvements and the fourth-quarter surge. The Securities and Exchange Commission (SEC) has played an integral role in supporting this growth through regulatory reforms, including joining the GBMC Network of IOSCO and promoting ISSB Standards.
SEC’s Role in Capital Market Growth
Earlier in the meeting, Dr. Emomotimi Agama, the Director-General of the SEC, spoke on the Commission’s efforts to promote capital market growth and regulatory reforms. He underscored that the passage of the Investment and Securities Act (ISA) 2025 signals the beginning of a transformative era for Nigeria’s capital market. Agama highlighted the Commission’s commitment to engaging stakeholders, ensuring widespread understanding of the new law, and driving innovation and compliance.
One of the key initiatives of the SEC is restoring investor confidence and providing timely relief to aggrieved investors, which will foster a broader, more inclusive participation of Nigerians in wealth creation. To make the ISA 2025 more accessible, the SEC has launched a podcast series and a sensitization team to ensure public understanding of the new law.
Agama also noted the impressive performance of Nigeria’s capital market in 2024, including a 37.65% increase in the NGX All-Share Index and a 53.39% growth in market capitalization. He emphasized that these gains were complemented by efforts to promote market integrity, enhance regulatory efficiency, and protect investors.
In closing, Agama reiterated the SEC’s commitment to financial inclusion and investor education, focusing on empowering women, youth, and grassroots communities. The Commission is also embracing technology-driven solutions, such as launching an e-survey to assess technology adoption within the capital market.
Overall, the meeting underscored Nigeria’s focus on strengthening its capital markets to support economic development, ensure sustainable growth, and improve transparency and investor confidence.
