The Securities and Exchange Commission (SEC) of Nigeria has announced plans to establish a special unit and develop a mobile application aimed at tackling the significant issue of unclaimed dividends in the country’s capital market. As of March 2024, the total amount of unclaimed dividends had reached N215 billion. This initiative is part of the SEC’s broader strategy to safeguard investor interests and bolster market confidence.
The SEC’s Director General, Emomotimi Agama, made this announcement during a post-Capital Market Committee (CMC) press briefing held on Thursday. Agama emphasized that, while it may not be feasible to eliminate unclaimed dividends entirely, the Commission is dedicated to making it easier for eligible investors to reclaim their funds.
“We are going to set up a special unit at the SEC that speaks directly to the issues of unclaimed dividends,” Agama stated. He acknowledged that many investors face minor challenges in accessing their unclaimed dividends and stressed the importance of resolving these issues to enhance investor trust and participation in the market.
The new unit will be headquartered at the SEC and will also operate through its branch offices. It will offer a streamlined and accessible process for investors seeking to recover their unclaimed dividends. Additionally, the mobile application being developed will provide investors with an easy-to-use platform to check their dividend status and initiate the process of reclaiming their funds.
Agama reiterated the SEC’s commitment to addressing the unclaimed dividends problem as a crucial step towards enhancing the overall efficiency and transparency of Nigeria’s capital market. By providing investors with the tools and support needed to recover their unclaimed dividends, the SEC aims to protect investor interests and strengthen the integrity of the market.
