The Securities and Exchange Commission (SEC) has announced a significant reduction in the approval timeline for companies seeking to raise funds in Nigeria’s capital market, cutting the process down to 14 days from over a year.
Director-general of SEC, Dr. Emomotimi Agama, disclosed this emphasising that the move is aimed at making the capital market more efficient and better positioned to support the growth of the Nigerian economy.
“Since we came on board, we have worked to propel the economy. One major challenge issuers faced was the prolonged approval time for raising capital. Previously, companies spent over a year waiting for approval before they could access the market. The capital market is the lifeblood of any economy or company, and time is a critical factor. Therefore, one of our first priorities was to reduce this timeline, and I can proudly say we have brought it down to just 14 days,” Agama said.
He noted that the efficiency reforms were evident during the banking recapitalisation exercise, where banks successfully raised over N2.2 trillion from the Nigerian capital market through the e-offering platform.
Agama explained that issuers did not experience delays in processing their applications because the Commission had implemented various mechanisms to ensure swift approvals.
“All of these transactions were fully subscribed, and we have actively encouraged the use of technology. With the adoption of the e-offering platform, issuers no longer need to rely on paper applications to raise capital. This is a game-changer for market efficiency, and we are committed to further improvements in the future,” he added.
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