SEC Outlines Key Reforms in New Investments and Securities Act
By Patience Ikpeme
The Securities and Exchange Commission (SEC) has disclosed that the newly enacted Investments and Securities Act 2025 introduces significant reforms aimed at increasing investor confidence, strengthening market oversight, and aligning Nigeria’s financial markets with global best practices.
Director General of the SEC, Dr. Emomotimi Agama, provided insights into the new law in Abuja over the weekend.
Dr. Agama stated that the ISA 2025 represents a transformative step for the capital market. He noted that key reforms include the formal recognition of virtual assets such as cryptocurrencies as securities, thereby bringing them under the regulatory purview of the Commission.
“The Act also expands the definition of securities to cover investment contracts, ensuring that digital assets operators, exchanges, and service providers comply with investor protection standards,” Dr. Agama explained.
He added that, “The new Investments and Securities Act is a milestone development because of the various changes that it has introduced into the Nigerian capital market. The Act helps the SEC project itself as a frontline regulator globally. And by that, it means that being a signatory ‘A’ member of the International Organization of Securities Commission (IOSCO), is a significant effort at driving foreign investors into the Nigerian economy.”
The Director General stated that the primary focus of the bill is investor protection, adding that the essence of regulation is to ensure the maintenance of integrity and transparency within the market.
“This will endear the Nigerian capital market to international investors. And so for us, the ISA 2025 has given us more powers to be able to deal with these challenges that have troubled investors for a very long time,” he said.
Regarding the activities of Ponzi schemes, Agama announced that there will be stricter sanctions and penalties for individuals engaged in fraudulent Ponzi schemes across the country, with increased vigilance from the SEC.
“We are going all out for anyone that we find culpable in this act, making sure investors are safe and confident in making investments in the Nigerian capital market. The Commission will intensify clampdowns on Ponzi schemes in 2025 now with the passage of the bill. We have an implementation team already set up to be able to deal with every page of the ISA 2025, so making sure that we achieve the goal of the new law, and making sure that investors are confident, happy again to be part of the market, bringing succor to them when it is needed, and providing an opportunity for us to democratize wealth creation in this country,” Agama stated.
The DG conveyed that engagement with stakeholders is a priority, as understanding the Act is crucial for its effective implementation.
“Aside from the implementation team, we have a sensitization team, and indeed, we have also introduced a podcast to ensure that the message reaches every corner of this country. So we will be releasing content that will be unwrapping the ISA 2025 so that the general public will be fully aware. We will engage with stakeholders from all perspectives—investors, public companies, operators, law enforcement agencies, the judiciary, the executives—everyone that needs to know more about this law will be engaged because at this point, ignorance of the law is not an excuse,” he stated.
The SEC DG also commended President Bola Ahmed Tinubu for his consistent support and expressed gratitude to the National Assembly, as well as the Minister of Finance and the Minister of State for Finance.
President Tinubu assented to the ISA 2025 on March 25, 2025, thereby repealing the ISA 2007.
