Onome Amuge
The Securities and Exchange Commission (SEC) has initiated one of its most impactful oversight drives in almost twenty years, directing all capital market operators to disclose their compliance status and ensure that every tradable instrument they manage is fully registered with the capital market regulator before January 2026
The move marks the first major enforcement push under the country’s new Investments and Securities Act 2025 (ISA 2025), signalling a shift toward a more intrusive, rules-based regulatory regime designed to tackle the fragmentation, opacity and self-regulation that have defined segments of Nigeria’s capital markets for years.
Emomotimi Agama, SEC Director-General, said the new directive is not merely administrative housekeeping but a fundamental test of the market’s readiness to operate under a modernised securities framework.
Speaking at the the SEC Journalists Academy with the Theme: “The ISA 2025 and the Future of Nigeria’s Capital Market: Innovation, Protection, and Growth”, in Lagos, recently, Agama, represented by Bola Ajomale, the commissioner of operations, said operators must file their compliance status and complete the registration of all instruments ahead of the January deadline.
“Anyone offering a tradable instrument must register with the Commission. If we get this right, ISA 2025 will become the foundation of the deep, efficient and globally competitive capital market Nigeria deserves,” he said.
While the ISA 2025 has been widely welcomed by issuers, fintech founders and institutional investors, the compliance directive presents a litmus test for hundreds of operators whose instruments have long existed in regulatory grey zones.
For years, the regulator has struggled to rein in fast-moving innovation, particularly in a market where digital asset promoters, unregulated fund managers and fringe investment platforms have flourished by exploiting gaps in the 2007 Act. Some of these platforms have collapsed, costing retail investors billions of naira and weakening public trust.
The new Act is designed to reverse that pattern. It gives the SEC explicit powers to act in the public interest, impose market-wide compliance duties, and investigate not only regulated entities but also unrelated third parties, a provision intended to crack down on market abuse, insider trading networks and fraudulent schemes.
Agama described this expansion of investigative reach as one of the most consequential changes in the ISA 2025, noting that previous enforcement efforts were frequently impeded by narrow legal definitions and outdated supervisory boundaries.
The rise of digital trading, from app-based retail investing to tokenised assets, is central to the reform. ISA 2025 introduces clearer rules for virtual assets, fintech intermediaries, digital exchanges and non-traditional investment platforms. By aligning with IOSCO standards, it seeks to bring Nigeria’s regulatory architecture closer to what global institutional investors expect.
With eight African unicorns headquartered in Nigeria and over 40 fintech firms operating within regulatory sandboxes, the market has outgrown a framework built for an analogue financial system.
The new law attempts to catch up. It clarifies the SEC’s objectives, strengthens its authority and places investor protection at the heart of its mandate. It also eliminates ambiguities that complicated enforcement actions in the past and ensures better alignment with national economic goals, particularly those around financial stability and capital formation.
The January 2026 compliance deadline sets in motion what could become one of the most consequential market audits in years. Operators must review their product portfolios, verify documentation, and rectify any historic non-compliance. Those managing unregistered instruments will face the choices between regularising, withdrawing or face enforcement action.
The SEC views the ISA 2025 as a chance to reset Nigeria’s capital market narrative; from one punctuated by scandals and systemic loopholes to one defined by transparency and investor confidence. Reform momentum has been reinforced by macroeconomic stabilisation efforts, including FX market unification and financial sector reforms, that have improved investor sentiment over the past year.
Agama described the ISA 2025 as a collective resolve to modernise the market, noting that Nigeria must deepen its capital markets if it is to finance economic growth at scale.
