The Federal Government has urged the new board and management of the Securities and Exchange Commission (SEC) to be transparent to enhance investors’ confidence in the capital market.
Alhaji Mahmoud Isa-Dutse, the Permanent Secretary, Federal Ministry of Finance made the call while inaugurating the reconstituted board of the commission in Abuja on Monday.
Isa-Dutse said the new board was coming at a time that many players in the stock market were displaying “weak corporate governance practices”.
The weaknesses, according to him are capable of dampening investors’ confidence and undermining the steady gains achieved since the 2008 stock market crash.
“We, therefore, count on the patriotic service of the new Board members to play their own part as crucial enablers in the industry toward advancing a common vision for the growth and revitalisation of our market.
“Our capital market is growing and evolving. To sustain this growth and eventually transform to a world-class capital market, transparency and investors’ confidence is key.
“Investors’ confidence will accelerate the growth of our market and increase both domestic and foreign investor participation.
“Therefore, we must ensure that our market is transparent and listed companies imbibe good corporate governance and accountability,” Isa-Dutse said.
The permanent secretary said like world-class capital markets, the Nigerian Stock Exchange (NSE) characterised by high levels of liquidity, depth, breadth and sophistication with a strong domestic investor base.
He added that the market should be innovative and efficient both in price discovery and in the allocation of capital.
The nine-member board, comprising five part-time and four full-time members, has Mr Olufemi Lijadu as Chairman, and Mrs Mary Uduk as Acting Director of the commission.
The part-time members of the board are; Mr Olufemi Lijadu, Chairman, Mr Okon Ekanem Udo, representative of the Federal Ministry of Finance, Mrs Angela Adewumi Sere-Ejembi, representative of the Central Bank of Nigeria (CBN), Mrs Faruk Rekiya and Mr Lamido Yuguda.
The full-time members are; Mrs Mary Uduk, the Acting Director-General SEC, Mr lsyaku Tilde, Mr Reginald Karawusa, Mr Henry Rowlands all of SEC.
In his response, the Chairman of the Board, Lijadu said the board would work toward strengthening the capital market.
“There is the need to reinforce public trust. We will enthrone transparency and accountability in the discharge of our duty.
“I thank the Federal Government for this great honour and privilege given to us to serve,” he said.
Uduk, the Acting Director-General, SEC, said operating this four years without a board was not easy, and thanked the Ministry of Finance for being there all through the years.
She also commended the role played by members of the capital market community in calling on the Federal Government on the need to constitute the board, adding that their effort had yielded results.
The reports state that the inauguration was coming four years after the Commission had its last board in 2015 under the leadership of Mr Peter Obi, former governor of Anambra.