The Securities and Exchange Commission (SEC) has announced a reduction in the time to market to improve the efficiency of the capital market and better position it to support the development of the Nigerian economy.
The Director General of the SEC, Dr. Emomotimi Agama, stated this during an interview in Abuja, emphasizing that the current SEC management has shortened the approval process for companies to just two weeks.
According to Agama, “Since we assumed office, it is important to note that we have helped propel the economy. One of the challenges before our tenure was the prolonged time to market—issuers would come to the market and face significant delays before obtaining approval to raise capital.
“The capital market is the lifeblood of any economy and is regulated by time. One of the first issues we tackled was reducing the time to market. I can proudly say that we have cut the approval time from over a year to just fourteen days.”
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Agama noted that during the banking recapitalization exercise, banks successfully raised over N2.2 trillion from the Nigerian capital market using the e-offering platform.
He stated that issuers did not experience delays in their applications because the Commission had put in place various mechanisms to ensure swift processing and timely approvals.
“In addition, all these transactions have been fully subscribed, and we have encouraged the use of technology. The e-offering platform eliminates the need for paper applications in the market. We aim to continue improving daily.
“Technology is the future, and the ISA 2007 has made provisions for it. To achieve our market milestones, we must embrace technological advancements. We implemented this approach in the banking recapitalization exercise, which has seen massive and overwhelming success. The NGX has an e-IPO system that has proven highly effective.
“All the offers that came in during this period were approved within 14 days as promised. The next phase was the subscription process, which was facilitated through the NGX platform and subsequently approved. We observed an increase in young investors entering the market, driven by the adoption of technology. This year, we will continue to integrate technology into our operations,” he stated.
The SEC DG reiterated the Commission’s recognition of the capital market’s crucial role in driving economic growth and reaffirmed its commitment to ensuring that the market provides solutions to economic challenges.
“Our focus this year is efficiency, dedication, and giving back to society by leveraging the capital market as an engine of growth and a driver of wealth for all Nigerians. We are committed to protecting investors and developing the market. We must do everything within our power and legal framework to ensure that Nigerians regain confidence in investing and creating wealth through the market,” he added.
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