By Nathaniel Zaccheaus, Abuja
The Investments and Securities Bill, repealing the Securities and Exchange Commission Act, passed its second reading on the Senate floor yesterday.
The approval followed Senator Osita Izunaso’s (APC-Imo) presentation of the lead debate on the bill’s general principles during plenary.
The Senate Leader, Opeyemi Bamidele, sponsored the bill while Izunaso co-sponsored it.
The bill is titled “Investments and Securities Bill, 2024.”
Leading the debate, Izunaso said that the bill sought to repeal the Investments and Securities Act of 2007 and enact the Investments and Securities Act 2024.
It was meant to establish the Securities and Exchange Commission as the apex regulatory authority for the Nigerian Capital Market.
“It will be a regulation of the Market to ensure capital formation, the protection of investors, maintenance of fair, efficient and transparent market, and reduction of systemic risk.”
Izunaso further said that the bill’s main objective was to enact legislation that aligned with global dynamics in regulating the capital market through the provision of an innovative regulatory framework.
“It will protect the integrity of the security market against all forms of market abuse and insider dealing. It will prevent unauthorised, illegal, unlawful, fraudulent, and unfair trade practices, relating to securities and investments”.
He said the proposed legislation’s overriding purpose was to strengthen the Commission’s capacity to perform its statutory mandate effectively.
He also said it would “reposition this vital sector of our economy for national economic transformation.”
Senators Isa Jibrin (APC-Kogi) and Adetokunbo Abiru (APC-Lagos) supported the bill.
Jibrin said, “We have been having problems with definite assignments that the Securities and Exchange Commission (SEC) is supposed to carry out to ensure that the Nigerian Capital Market functions effectively.
“This amendment is very important to ensure that SEC does its job in line with the global best practice.”
For his part, Abiru said that the bill would not only bring about discipline and improvement in the capital market but also enhance the regulator’s capacity.
In his remarks, Senate President Godswill Akpabio said that many people would be happy to infuse funds into the capital market when they know that much of the risk has been minimised.
He, after that, referred the bill to the Senate Committee on Capital Market for further legislative actions to report back in four weeks.
