The Securities and Exchange Commission (SEC) has been commended for the establishment of the Nigerian Capital Market Development Fund (NCMDF)
Speaking at the inauguration of the board of NCMDF, Former Chairman of the Board of SEC and former DG, Dr. Suleyman Ndanusa commended the SEC on its efforts at discharging its primary mandate of regulating and developing the Nigerian capital market particularly in the area of investor protection.
Ndanusa noted that it is on record that the apex regulatory organization had in recent times, in its unrelenting efforts, implemented numerous initiatives which aim at developing the market.
According to him “Some of them include the launch of the National Investor Protection Fund, a trust scheme established to compensate investors who incurred losses arriving from insolvency and bankruptcy. Another one is dematerialization of share certificate, direct cash settlement system, and the on-going e-dividend registration.
“Here we are this morning witnessing yet another milestone which is the inauguration of the board of NCMDF. The SEC and the entire capital market community certainly deserve commendation for this.”
He said the primary focus of establishing the NCMDF is to fund relevant market development initiatives that will spur growth of the market and the Nigerian economy.
Equally, the fund seeks to facilitate the introduction of proper understanding of new products to deepen the market, provide capacity building to tackle emerging challenges and create an industry wide synergy through partnership with government and non governmental agencies and corporate bodies with similar objectives.
Considering the dynamic nature of the global economic system particularly the financial sector, regulators worldwide continue to seek relevant initiative to create opportunities and tackle emerging challenges.
“The lunching of the Nigerian Capital Market Development Board is therefore expected to contribute greatly towards the developmental efforts of the SEC to grow the market, enhance financial inclusion and regulatory visibility. I am glad to note that the board members chosen have impressive pedigree and were selected on account of their proven integrity, wealth of experience and unrelenting contributions towards the development of the Nigerian capital market” He added.
In his remarks, Director General of the SEC and also Chairman of the NCMDF Board, Mounir Gwarzo said the inauguration promises to be another significant landmark in the achievement of the Commission’s mandate to deepen the market and enhance the socio economic development of our beloved country.
Gwarzo said the SEC developed the 10-year Capital Market Master Plan (CMMP) as a blueprint for the development of a vibrant capital market in Nigeria and has been putting all its energy, resources and time into implementing the Master Plan.
He said, “The Commission has provided the initial takeoff grant for the Fund but going forward the entire capital market community should come together to discuss details of how we can all contribute to the continued funding for this critical market vehicle.
“The Board appointment is a call to service as a crucial enabler in the industry which will require total commitment and dedication of the highest standards, attributes which I am confident that the Board members epitomize individually and collectively.
“The Commission has played its part and will continue to take its market development mandate with all seriousness. We shall ensure that the fund immediately gets down to the important business of facilitating capital market development in accordance with the Rules guiding its operation”.
The NCMDF was incorporated on the 7thAugust 2017 and the composition of the Board was approved by the Honourable Finance Kemi Adeosun on 9th October 2017.
Members of the board are Mounir Gwarzo – Chaiman, Non executive Commissioner of SEC – Vice Chairman, Executive Commissioner of the Securities and Exchange Commission, Mrs Olubunmi Siyanbola – Director, Home Finance, Ministry of Finance, and Dr. Faruk Umar – Chairman, Association for the Advancement of the Rights of Nigerian Shareholders
Others are Mr. Sunny Nwosu – Independent Shareholders Association of Nigeria, Mr. Bayo Olugbemi – President/Chairman – Institute of Capital Market Registrars – Represented by Walter Oghogho and Ify Ejeizie – Association of Stock Broking Houses of Nigeria.