SEC inaugurates capital market development fund

The Securities and Exchange Commission (SEC) on Monday inaugurated the Nigerian Capital Market Development Fund (NCMDF) in Abuja.

  Speaking at the event, the Director General of SEC, Mr Mounir Gwarzo,  who is also the Chairman of NCMDF board, explained that the board would do its best to ensure improvement in the Nigeria’s capital market and the economy.

According to Gwarzo, the NCMDF is part of SEC’s 10 Year Nigerian Capital Market Master Plan which it planned to implement.

He said: “It is in line with our market development initiative and I urge all the various stakeholders to support the actualisation of the initiative.

“On behalf of the board members, we pledge to do our best to improve the Nigerian capital market.’’

Earlier, the Special Guest and former Director-General of SEC, Dr Suleiman Ndanusa, while inaugurating the board, said the event was another milestone in the history of SEC.


Ndanusa reiterated efforts being made by the commission toward ensuring shareholder protection in the country, adding that the management of SEC deserved commendation.

He said the primary purpose of the NCMDF was to fund relevant market development initiative that would spur growth of the market and the Nigerian economy.

“Equally, the fund seeks to facilitate the introduction and proper understanding of new products toward beefing up the market as well as provide capacity building to tackle emerging challenges in the market.

“The inauguration of the Nigerian capital market funds is therefore expected to contribute greatly toward the developmental effort of the SEC to rule the market, enhance financial inclusion and regulatory visibility.

“I urge you (the board) to demonstrate the highest standard in the discard of your mandates and consider this a national call to service,’’ Ndanusa said.

In his remarks, Mr Adekunle Rowland, the Director, Market Development, SEC said the NCMDF was a company limited by guarantee incorporated under the Companies and Allied Matters Act 1990.

According to Rowland, the fund aims at building a robust mechanism to facilitate and provide funding for the market development project.

“It is also meant to facilitate initiatives of the entire capital market industry with a view to spurring the desired growth of the market as well as the Nigerian economy,’’ he said.

The director noted that NCMDF was meant to among others, initiate and carry out plans and programmes aimed at the development of the Nigerian capital market.

He said it would provide funds for financing capital market development programmes and facilitate introduction of new products that would deepen the Nigeria capital market.

“It will facilitate and host all kinds of meetings that would bring all stakeholders in the capital market together to discuss issues affecting the Nigerian capital market.

“And it will facilitate publication of market information, sponsor research and scholarly projects and drive key government initiatives that would boost efficiency, transparency and innovation in line with global best practices.’’

He further said the NCMDF was viewed as a paradigm shift in the Nigerian capital market development which required all stakeholders’ maximum support.

This he said would enable the company stimulates its activities and realise its objectives.

The News Agency of Nigeria (NAN) reports that the event was witnessed by representatives of the Ministry of Finance, FMDQ and various stakeholders in the Nigerian capital market.

The members of the board include, Mrs Olubunmi Siyanbola, Director, Home Finance, Ministry of Finance and Dr Faruk Umar, Chairman, Association for the advancement of the rights of Nigerian shareholders.

Mr Sunny Nwosu of the Independent Shareholders Association of Nigeria, Mr Bayo Olugbemi, President, and Institute of Capital Market Registrars are also members of the board.

Others are, Ify Ejezie of the Association of Stock Broking Houses of Nigeria and My Ayodeji Balogun, Chief Executive Officer, Afex Commodities Exchanges/Association of Securities Exchanges.