The Securities and Exchange Commission (SEC) has announced its collaboration with the Central Bank of Nigeria (CBN) and other relevant agencies in a bid to ensure a smooth recapitalization process in the banking sector. The disclosure was made by SEC’s Director-General, Lamido Yuguda, during a briefing with journalists following the Capital Market Committee (CMC) meeting in Abuja on Friday.
Yuguda revealed that the commission is set to issue appropriate guidelines aimed at facilitating an efficient capital raising process for the banking sector recapitalization. Stressing the importance of speed, fairness, and market integrity, Yuguda expressed confidence in the market’s ability to provide the necessary funds for the recapitalization efforts.
Highlighting the strength, efficiency, and resilience of the capital market, Yuguda cited recent instances of large companies successfully raising substantial financing, demonstrating the market’s depth. The meeting also voiced support for the CBN’s initiatives aimed at strengthening the naira and combating inflation.
On market performance, Yuguda noted a significant increase in trading activities, with the Nigerian Exchange (NGX) All Share Index surging by 45.90% and the FMDQ Sovereign Bond Index generating an impressive 8.79% return. The NASD exchange also witnessed notable increases in both volume and value.
Regarding market supervision, Yuguda emphasized the SEC’s intensified efforts, including inspections targeting fund managers to address vulnerabilities and enhance stability. These measures have led to the implementation of corrective actions aimed at fortifying the fund management industry.
Despite progress, the commission continues its battle against illegal operators, including Ponzi scheme promoters, with successful recoveries for investors and closure of illicit schemes.
Moreover, the meeting underscored initiatives aimed at promoting investor education, particularly among young Nigerians, and leveraging digital platforms to broaden market participation.
Credit: News Agency of Nigeria (NAN) Text Excluding Headline
