The Securities and Exchange Commission and the African Development Bank Group have signed an agreement for a grant on market surveillance system project as part of their commitment to modernizing Nigeria’s capital markets and making sure they are well-positioned to support economic transformation driven by private sector investment.
The “Nigeria Securities Market Surveillance System Project” will use the $460,000 award to provide technical assistance and capacity building for the development of capital markets in Nigeria.
The grant from the Capital Markets Development Trust Fund (CMDTF), a multi-donor trust fund managed by the AfDB and supported by the Luxembourg Ministry of Finance and the Ministry of Foreign Trade and Cooperation of the Netherlands, will support the purchase, installation, and deployment of a real-time automated securities market surveillance system of the Nigerian capital market, according to African Development Bank Group Director-General Lamin Barrow.
“Today’s event marks yet another major milestone in our relationship and efforts to modernize Nigeria’s capital markets and make sure that it is well-positioned to enable economic development led by private sector investment,” claims Barrow.
The SEC’s ability to monitor securities trading across all current and upcoming trading platforms, as well as all tradable securities and products, will be improved through the deployment of a surveillance system. As a result, among other anticipated results, it will protect the integrity of the securities market and increase investor trust and financial inclusion.
According to the AfDB DG, the technical assistance project’s design incorporates training activities to increase users’ capacity for the securities market surveillance system, as well as the creation of pertinent operational manuals, workflow processing, and document management for the surveillance solution.
Lamido Yuguda, the director general of the Securities and Exchange Commission (SEC), stated in his remarks that the SEC is grateful to the AfDB for giving the grant support for carrying out very significant projects, particularly the project to buy a surveillance solution.