FG Reiterates Its Commitment To Develop Capital Market

Minister of Finance, Zainab Ahmed,

 

The Federal Government has reiterated its commitment to building a vibrant capital market that would contribute to the growth and development of the country.

Minister of Finance, Zainab Ahmed, said this In Lagos Tuesday at the Maiden Awards Night of the Securities and Exchange Commission, SEC tagged ‘Committed Partnership’.

According to Ahmed, Capital markets play a central role in the development of the economy through mobilisation of long term savings for investment as well as efficient pricing of financial instruments.

She said over the years, the capital market has provided platforms through which corporates and governments source for capital to expand their operations and provide amenities for its citizens.

Speaking further on economic development, Ahmed said Nigeria is making a lot of efforts in diversifying the economy, raising revenues and blocking leakages, as well as also making a lot of efforts to in ensuring mobilisation of resources to aid investment in small and medium enterprises and provide infrastructure.

The Minister commended the awardees for contributing in significant ways towards achieving the over 100 initiatives contained in the master plan adding that she cannot but further appreciate their commitment and contributions to actualise the master plan.

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She expressed delight that the main thrust of the plan aligns to the vision of the Economic Recovery and Growth Plan, ERGP for the financial services sector saying that when the ERGP was being prepared, copious references were made to the 10-year master plan.

She disclosed that the ERGP vision for the financial services sector is to strengthen relevant market institutions and mitigate risk by building a healthy and competitive financial system that is better positioned to support private sector and contribute towards the sustainable development of our economy.

“Indeed, just as the Capital Market master plan, the ERGP policy objectives for the financial sector is to further diversify instruments of the stock market, review the capitalisation of the financial institutions and encourage lending to the real sector of the economy and encourage of the economy

“All of these are necessary for us to be able to create jobs, wealth and increase the standard of living of our people and the capital market is central to all of these efforts. I want to urge all of you here today to continue to partner with the government in its bid to achieve policies that it is committed to in the ERGP”

“As the ERGP recognises the power of the capital market to drive its own forms, CAMMIC is today proven to be an embodiment of this recognition” she added.

Ahmed, therefore, commended the market participants for coming together to co-operate with the regulator to formulate the plan and implement the master plan in Impactful manner as shown by the results shown so far In diversifying and growing the market.

In her welcome address, Acting Director-General of SEC, Ms. Mary Uduk, said the event was put together to appreciate the tremendous support and collaboration the Commission has received from market operators and various stakeholders in the capital market which has advanced collective aspiration to accelerate the growth of the market and contribute to the development of the nation’s economy.

She said the implementation of the 10 Year Capital Market Master Plan commenced in earnest under the guidance of the Capital Market Master Plan Implementation Council Chaired by Mr. Olutola Mobolurin.

“ I am very pleased to state that we have made great strides in our implementation efforts.

“We have taken up the initiatives outlined in the Master Plan document in a systematic manner while also painstakingly engaging with the government, its agencies and other critical stakeholders whose support and collaboration are required to achieve the objectives outlined in the Master Plan” she added.

Recall that the ten-year capital market master plan which was launched in 2014, has the aim to position the Nigerian capital market for accelerated development of the national economy.

NASS, SEC, Others Hold 2nd Capital Market Forum

 

The National Assembly, the Securities and Exchange Commission and other financial regulatory agencies, are holding their second Stakeholders’ Forum on the Capital Market.

According to the Chairman of the House of Representatives’ Committee on Capital Market and Institutions, TeeJay Yusuf, the theme of this year’s conference is, “capital Market As A Catalyst for Economic Growth and Development.”

Some of those at the event include the DG of Debt Management Office, Ms. Patience Oniha, Chairman, Senate Committee on Finance, Senator John Eno and Acting DG of SEC, Ms Mary Uduk.

The CEO of NSE, Mr. Oscar Onyema, the Minister of Finance Mrs Kemi Adeosun, Ministers of Agriculture, Economic Planning, Trade and Investment and Works, Power and Housing, state governors, Senate President, Bukola Saraki, are among others who are expected at the event.

Reps Raise Concern Over Alleged Capital Market Breaches      

 

Reps To Conclude Work On Constitution Amendment Thursday
File photo

The House of Representatives Committee on Capital Market and institutions is calling on regulatory agencies in the Capital Market to intensify their efforts to protect shareholders investments.

The Chairman of the House Committee, Tajudeen Yusuf said this at the opening of a two-day hearing on a bill for an act to amend the Investments and Securities Act, 2007 and look at bonds, securities and private placements between 2001 and 2016.

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“In the report published by the Nigerian stock exchange over 300 private placements were marketed between 2005 and 2009 with many recording successes in their bits. The report further revealed that over 700 billion was realised with most of these offerings oversubscribed.

“During this period, over 300 companies in the oil and gas sector, finance and non-financial industry and others sectors of the Nigerian economy were involved in varying degree of private placements,” Yusuf said.

The lawmaker also asked officials of the organizations present to synergise towards restoring investors confidence in the capital market.

SEC May Revoke Licences Of 400 Operators

The Securities and Exchange Commission may revoke the licence of about 400 capital market professionals on July 31.

The commission said that the operators in question include reporting accountants, solicitors and estate surveyors who fail to provide updated information about their operations.

To carry out the act, the commission said it would invoke the provisions of the Investment and Securities Act of 2007, that compels all capital market professionals to update their registration with the regulator.

The commission first issued the directive to operators in December 2016 and again, in February this year.

SEC Partners EFCC For Capital Market Monitoring

SEC Partners EFCC For Capital Market MonitoringThe Securities and Exchange Commission (SEC) is set to partner with the Economic and Financial Crimes Commission (EFCC) to provide an efficient and effective monitoring of the capital market.

The Director General of SEC, Mr Mounir Gwarzo gave this information during an official visit to the Acting Chairman of the Economic and Financial Crimes Commission, Mr Ibrahim Magu in Abuja.

Mr Gwarzo acknowledged a close relationship between the SEC and the EFCC and hoped that the MOU when fully operational, would curb market infractions.

The acting chairman of the EFCC, Mr Magu believes the collaboration between both agencies has yielded results for the growth of the capital market and gave the assurance that his agency will continue to provide assistance where required.

 

Obasanjo Charges SEC On Improved Financial Initiatives

Obasanjo Charges SEC On Improved Financial InitiativesA former President Of Nigeria, Chief Olusegun Obasanjo, has challenged the management team of the Securities and Exchange Commission (SEC) to improve on its financial initiatives in order to restore the confidence of investors in the capital market.

He made the call in Abeokuta, the Ogun state capital, when a team from the SEC visited him at his residence.

He stressed the need for stability, credibility and transparency, in order to attract more foreign direct investment, as well as ensure the growth of the Nigerian economy.

The ex-President emphasized the importance of the Commission in the face of the current economic challenges.

“Your organization has a key role to play in getting us out of the recession, we have to produce, trade and look for funds to get us out of the situation we have found ourselves,” he said.

On the confidence in the capital market, Chief Obasanjo said: “We must also try to restore confidence, especially in the market and particularly in the capital market, I think over the past few years, many people have lost fortunes.”

The SEC team also visited the State Governor, Ibikunle Amosun in his office where he promised to offer full support to the financial literacy initiative of the SEC, as part of the Nigerian Capital Market Master Plan.

Obasanjo, SEC, financial institutionsThe management team laid bare before the Governor, its financial literacy initiative, aimed at inculcating the very knowledge of the market, in secondary schools in the state.

“In 2014 we came out with a robust master plan to drive the capital market. What we do every year is to come out with certain initiatives, in this country unfortunately, we have so many plans but they are always inside drawers,” said the DG of SEC, Mansur Gwazo,

Further stressing the importance of the capital market, he said that because of the commitment to drive the market, “we have been religiously implementing the master plan.

“This year, one of the initiatives is the financial literacy and we believe it is important to inculcate the culture of financial literacy at the very low level”.

The Governor promised his full support for the initiative and encouraged that financial literacy should indeed added to the curriculum of schools.

NSE Lists First Waste Management Company on ASeM

NSE CEO, Oscar Onyema says the company's admission into market puts it on a pedestal for growth and sustainability
NSE CEO, Oscar Onyema says the company’s admission into market puts it on a pedestal for growth and sustainability

The Nigerian Stock Exchange has listed its first waste management company, The Initiates PLC on the alternative securities market board.

The listing which is also the first for the local bourse this year, adds over 700 million Naira to the market capitalisation of the exchange.

889, 981, 552 ordinary shares of 50 kobo each of the company were listed at N0.85 per share by introduction on the Alternative Securities Exchange Market and Capital Limited was the lead financial adviser and the designated adviser while joint adviser on the transaction was Partnership Securities Limited.

The CEO of the Exchange, Oscar Onyema, said: “The company has successfully passed our stringent listing requirements and I commend their efforts to submit themselves to international best practices in governance.”

With this development, the NSE expects the waste management sector of the economy to start opening up.

E-Dividend Payment: SEC To Meet Retail Investors In Lagos

E-dividendThe management team of the Securities and Exchange Commission (SEC) is expected in Lagos for four days beginning Monday next week.

This is to interact with retail investors on the new electronic form of cash dividend payments and the move to phase-out physical share certificates.

The roadshow and town hall meetings will focus on some of the challenges investors face in the online registration for the e-dividend service that was inaugurated recently in partnership with the Central Bank and the Interbank Settlement Service.

Retail investors have complained that the new initiative, designed to resolve some of the most difficult issues in the Nigerian capital market for several decades, is being constrained by banks and registrars.

The securities commission is expected to interface with investors at the central business district in Lagos over a four-day period.

A similar investor-interaction forum on the e-dividend payment was held recently in Abuja, the Federal Capital Territory.

Governor Ahmed Explains Rationale Behind 20bn Naira Bond

Kstate governor AHmedThe Kwara State Governor, Abdulfatah Ahmed, has held a meeting with various stakeholders in the state explaining the reason behind plans to obtain 20 billion Naira bond from the capital market.

The meeting, which was held at the Banquet Hall, opposite Government House, was attended by labour leaders, artisans and professional bodies.

The Governor explained that since the monthly Federal Allocation to the state had dropped from over 3.2 billion to 1.8 billion Naira, the state had no option than to approach the market to meet the needs of the people.

According to the Governor, the projects earmarked for the bond covers all sectors of the economy.

Governor Ahmed also said that second overhead bridge, construction of schools, roads and healthcare centres would also be executed from the bond.

He assured residents of the state that the bond would be repaid from the Internally Generated Revenue for the period of seven years and appealed for their understanding.

The opposition Peoples Democratic Party in the state had earlier disagreed with the plan of the state government to obtain the bond.

It described the plan as an attempt to further impoverish the people of the state.

Stockbrokers Advised To Explore Entrepreneurship Growth Options

stockbrokersThe Nigerian Capital Market operators are putting efforts in place to empower entrepreneurs through the capital market despite the oil prices emerging frontier market across the globe.

They have been advised to explore entrepreneurship growth options to drive and boost the Nigerian Capital Market.

The Acting President of the Chartered Institute of Stockbrokers, Mr Oluseyi Abe was speaking with Channels Television at a forum of the operators in Lagos.

He says stockbrokers’ willingness to contribute to entrepreneurship falls in line with the need to diversify the African economy.

He further added that there is need for the entrepreneurs to be empowered, which will help to take business development to the next level.

CBN, SEC To Revamp Capital Market

Capital marketThe Securities and Exchange Commission and the Central Bank of Nigeria have announced plans to jointly revive the capital market and the Nigerian economy in general.

This is coming on the heels of the decline in the price of crude oil in international market and the continued downward slide of the exchange rate of the naira, and the need to seek other avenues for funding the economy.

This was part of the outcome of a meeting between the Deputy Governor of CBN, Dr. Okwu Joseph Nnana and the Management of the SEC, led by the Acting Director-General, Mounir Gwarzo, in Abuja.

Gwarzo described the collaboration as timely especially given the difficulties being experienced in the economy at the moment and hoped that both regulators would work towards the goal and resolve current issues.