Shareholders Push for Fair, Strong ISA 2025 Execution to Unlock Nigeria’s Capital Market Growth

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Olori Uwem

Well-Known Member
Mar 18, 2024
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Shareholders Push for Fair, Strong ISA 2025 Execution to Unlock Nigeria’s Capital Market Growth

Here’s a clear, detailed breakdown of what this news means and why it matters for investors and the capital market

What Is the Core Issue?

Shareholders in Nigeria are calling for effective, independent, and unbiased implementation of the Investments and Securities Act (ISA) 2025 to ensure the capital market grows sustainably and attracts long-term investment.

This call was made by the Independent Shareholders Association of Nigeria (ISAN) at a major capital market conference in Lagos.

Who Spoke and Where?
• Speaker: Moses Igbrude, President of ISAN
• Event: 2025 Conference of the Capital Market Correspondents Association of Nigeria (CAMCAN)
• Location: Lagos

His message was direct: passing a good law is not enough — how it is implemented will determine success or failure.

⚖️ Key Demand 1: Independent and Fair Regulation

Igbrude stressed that regulators, especially the Securities and Exchange Commission (SEC), must:
• Enforce ISA 2025 without bias or undue interference
• Allow operators to run their businesses freely
• Still maintain strong compliance, transparency, and governance standards

Why this matters: Overregulation or selective enforcement can scare investors away and slow market innovation.

Key Demand 2: Strong Regulatory Capacity

According to ISAN:
• Regulators must build technical and institutional capacity
• ISA 2025 covers both traditional assets and emerging areas like digital assets
• Enforcement must be sustainable, not just reactive

Implication: Without skilled regulators, even the best laws can fail in practice.

️ Key Demand 3: Modern Market Infrastructure

Igbrude proposed a fully integrated capital market ecosystem, including:
• A one-stop digital platform
• Seamless interaction between investors, operators, and regulators
• End-to-end transaction processing without bottlenecks

✨ Benefits:
• Faster transactions
• Reduced operational risk
• Higher transparency and trust
• Encouragement of innovation

️ Key Demand 4: Stronger Investor Protection

A major focus was minority shareholder protection:
• Minority and core shareholders must be safeguarded
• ISAN proposed mandatory minority shareholder representation on company boards

Why this is powerful:
This would:
• Improve corporate governance
• Reduce abuse by majority shareholders
• Increase investor confidence and participation

Key Demand 5: Education, Awareness & Collaboration

For ISA 2025 to truly work:
• Investors must know their rights
• Operators must understand their obligations
• Regulators must consistently demonstrate competence
• All stakeholders must collaborate

This holistic approach, according to ISAN, is what will transform the capital market.

The Bigger Picture

If ISA 2025 is implemented properly:
• Nigeria’s capital market could become more transparent, inclusive, and efficient
• The country could emerge as a model for financial governance and innovation in Africa
• Long-term economic growth would be better supported

Bottom Line

ISA 2025 is a powerful framework, but its success depends on:
• Independent regulation ⚖️
• Capacity building
• Modern infrastructure ️
• Real investor protection ️
• Collective responsibility

Without these, the law risks becoming well-written but weakly enforced.