The Securities and Exchange Commission (SEC) and the Nigerian Exchange Group (NGX) have expressed confidence that the newly signed Investments and Securities Act (ISA) 2025 will drive Nigeria’s economic growth and significantly enhance capital formation in the capital market.
Both institutions made this known in Lagos on Wednesday at the 2025 Capital Market Correspondents Association of Nigeria (CAMCAN) workshop, themed “Regulatory Reforms: ISA 2025 and Nigeria’s Investment Climate.”
Delivering the keynote address, the Director-General of the SEC, Mr. Emomotimi Agama, described the ISA 2025 as more than a replacement for the 2007 Act, saying it represents a comprehensive reform agenda designed to modernise the regulatory environment, strengthen governance, attract investment, and reposition Nigeria’s capital market for the demands of a dynamic global economy.
Agama, who was represented by the Lagos Head of the Commission, John Briggs, noted that the workshop theme underscores the critical role of regulatory reforms in shaping Nigeria’s investment climate, with ISA 2025 standing at the centre of that transformation.
According to him, the new law aligns Nigeria’s capital market framework with standards of the International Organization of Securities Commissions (IOSCO) while also deepening and strengthening market resilience.
“One of the most transformative aspects of the ISA 2025 is the clarity it brings to the mandate of the Securities and Exchange Commission,” he said.
“For the first time, the Act explicitly sets out the regulatory objectives, functions and powers of the Commission, including acting in the public interest, protecting investors, maintaining fair and transparent markets, preventing unlawful practices, reducing systemic risks and supporting capital formation.”
Agama also highlighted a major conceptual shift introduced by the Act — the transition from regulating only Capital Market Operators to supervising a wider class of regulated entities.
These include digital and virtual asset exchanges, warehouse operators and warehouse receipt systems, derivatives and commodities platforms, and market infrastructure operators.
He added that, for the first time, the SEC is empowered to identify market-wide vulnerabilities, collaborate with other regulators during periods of financial stress, take pre-emptive actions to prevent financial contagion, and ensure the stability of systemically important institutions.
For investors, Agama noted that ISA 2025 signals a more resilient and predictable market environment, better structured to withstand economic shocks.
He also said the law tackles Ponzi schemes more decisively by empowering the SEC to seal prohibited schemes and impose criminal sanctions.
“These reforms protect retail investors, deepen the fund management industry, and encourage genuine collective investment vehicles capable of mobilising long-term capital. This is a strong boost to investor confidence and contributes meaningfully to improving Nigeria’s investment climate,” he said.
However, the SEC boss stressed that successful implementation of the law requires collective responsibility among stakeholders through collaboration, capacity building and strict adherence to the framework.
“The ISA 2025 will become the cornerstone of the capital market Nigeria needs and deserves, and a catalyst for a stronger and more competitive investment climate,” he added.
In his remarks, the Chairman of the Nigerian Exchange Group, Alhaji Umaru Kwairanga, said the reforms encapsulated in ISA 2025 mark a pivotal phase in strengthening market governance, boosting investor protection and enhancing overall market competitiveness.
“These reforms are not merely regulatory updates; they are foundational shifts designed to modernise our capital market architecture, attract deeper pools of capital, and position Nigeria as a top-tier investment destination within Africa and globally,” he said.
Kwairanga urged participants at the workshop to maximise the opportunities provided by ISA 2025 as regulators, operators, investors and the media work in alignment to deepen the market.
He also commended CAMCAN for its continued commitment to promoting capital market literacy and facilitating meaningful stakeholder engagement.
“I am confident that the insights shared today will contribute significantly to strengthening Nigeria’s capital market and supporting sustainable economic growth,” he added.
