Nigeria’s digital finance ecosystem has recorded approximately $96 billion in cryptocurrency and other virtual asset transactions, the Emomotimi Agama disclosed on Monday. Speaking during a Citizens and Stakeholders Engagement Session organised by the Federal Ministry of Finance in Abuja, Agama stressed that the scale of activity in the digital asset market calls for stronger regulatory oversight.
“As we speak today, it is a known fact from research and statistics that the virtual asset service providers and indeed the digital space, cryptocurrency operation is within the range of $96bn in transaction flow in Nigeria, and that is important for us to manage,” he said.
Agama explained that the regulatory framework for digital assets has been reinforced with the enactment of the Investment and Securities Act 2025, granting the Securities and Exchange Commission authority to regulate digital assets and other emerging financial technologies. The legislation also reaffirmed the SEC as the apex regulator of the Nigerian capital market while introducing provisions to monitor systemic risks and align operations with global standards.
Highlighting the capital market’s performance, he noted that about N3.68 trillion worth of new capital market issues were approved in 2024, spanning both equity and fixed-income instruments. The market has also supported banking sector recapitalisation, with more than 31 banks raising funds to meet new capital requirements.
The SEC boss added that total market capitalisation has risen from roughly N55 trillion in 2024 to about N127 trillion currently, while the market capitalisation-to-GDP ratio increased from 13 per cent to approximately 33 per cent. Investor protection has also been strengthened, with over 90 advisory notices issued warning Nigerians against suspicious investment schemes and a crackdown on fraudulent operations in collaboration with the Nigeria Police Force.
Agama further highlighted the capital market’s role in funding infrastructure development, noting subnational bonds financing public projects, and the establishment of an Office of Municipal Fund Development to assist local governments in accessing capital market funding. The commission also supported the Mortgage Refinancing and Infrastructure Fund to address Nigeria’s housing deficit with single-digit interest mortgages.
Looking ahead, the SEC plans to deepen the market by increasing the market capitalisation-to-GDP ratio from around 30 per cent toward levels seen in emerging markets like India, where the ratio is about 92 per cent.
The Permanent Secretary of the Federal Ministry of Finance also addressed challenges affecting budget implementation, citing lower oil production, fluctuating crude prices, rising debt obligations, and increased salary commitments. He noted that weekly cash management meetings have been introduced to improve revenue performance and that a single national budget cycle is expected to begin in 2026 to streamline financial planning.
