The Securities and Alternate Fee (SEC) has mentioned over $50 billion value of cryptocurrency transactions flowed by way of Nigeria between July 2023 and June 2024.
The Director-Normal of SEC, Dr Emomotimi Agama, mentioned in a discover on Sunday that the scenario raised concern over the low participation of residents in the normal capital market.
Mr Agama mentioned no fewer than 4 per cent of the nation’s grownup inhabitants have been energetic buyers.
The director-general described the low participation fee as a serious obstacle to financial progress and capital formation.
He famous that, whereas fewer than three million residents invested in the capital market, greater than 60 million engaged each day in playing actions, spending an estimated $5.5 million daily.
”This reveals a paradox, an urge for food for threat clearly exists, however not the belief or entry to channel that vitality into productive funding,” he mentioned.
Mr Agama lamented that Nigeria’s market capitalisation to Gross Home Product ratio stood at about 30 per cent, far under South Africa’s 320 per cent, Malaysia’s 123 per cent, and India’s 92 per cent.
He mentioned the disparity highlighted the pressing must deepen monetary inclusion and rebuild buyers’ confidence.
”Nigeria’s $150 billion annual infrastructure deficit far exceeds the market’s contribution, with solely N1.5 trillion accepted in Public Non-public Partnership bonds. This reveals a misalignment between monetary innovation and nationwide priorities,” he mentioned.
The director-general referred to as for a ‘reimagined SEC’ that served as each regulator and enabler of private-sector-driven progress. (NAN)
