The Securities and Exchange Commission (SEC) has restated that the protection of investors in the capital market is a top priority of the commission.
The Executive Commission Operations of the SEC, Mr. Dayo Obisan, who received a delegation from the Securities and Exchange Commission Zimbabwe in Abuja yesterday, stated that the Commission has a robust rule-making process that is meant to take care of current issues as well as create an enabling environment for innovation to thrive in the capital market.
This, he stated, will aid the stimulation of growth in the economy, attract more investors to the market as well as ensure that investors are protected.
Obisan disclosed that SEC Nigeria has a dual mandate to regulate and develop the capital market in Nigeria, stating that both roles are very delicate in a bid to ensure that the market is attractive to investors.
According to him, “They are both delicate roles because if you focus more on regulation, development suffers, and if development suffers growth is stifled. And if growth is stifled it is just a matter of time and the market will be at the receiving end.
“If you focus more on development on the other hand, things have potential of going haywire and you could just be running a market that is not co-ordinated and price transparency and investor protection will suffer. Those are the things we have sworn to do by the provision of the law that created us.”
The SEC Executive Commission disclosed that the National Assembly is currently in the process of amending the Investments and Securities Act 2007 to make it in tune in current realities.
“We are in the process of amending our enabling law and it has reached an advanced stage in the National Assembly. There is need to review the law because a lot has happened since the law came into effect in 2007. The essence is to capture all new developments that have taken place in the market within the period. Since the last review in 2007 a lot has happened like Covid-19, technology has taken a bolder stand. Even within the market there are a lot of other innovative instruments that have come which the law at that time did not envisage. Again, there is nothing cast in stone and we have to keep evolving to ensure we are adequately backed by the relevant sections of the law to enable us carry out our functions.”
In his remarks, the Head Corporate Finance Zimbabwe SEC, Mr. Kundai Msemburi said the delegation decided to visit SEC Nigeria in a bid to exchange ideas and boost regulatory efforts.
“We are here to interact with SEC Nigeria to find out how the Commission deals with issues of regulation. In Zimbabwe we have had issues of some crypto exchanges collapsing and we are here to interact in a bid to make our markets better, ” he stated.