The bill seeks to repeal the Investments and Securities Act, 2007 and enact the Investments and Securities Act, 2024.
The senate has approved the second reading of a bill seeking to repeal the Investments and Securities Bill Act 2007.
This followed the consideration of a bill sponsored by Sen. Opeyemi Bamidele and co-sponsored by Sen. Osita Izunaso (APC, Imo West) during Tuesday’s plenary.
The bill is titled, “A bill for an Act to repeal the investment and securities Act 2007 and enact the investments and securities bill 2024 and to establish the securities and exchange commission as the apex regulatory authority for the Nigerian Capital Market as well as regulation of the market to ensure capital formation, the protection of investors, maintain fair, efficient and transparent market and reduction of systemic risk.”
Leading the debate, Izunaso said that the bill seeks to repeal the Investments and Securities Act, 2007 and enact the Investments and Securities Act, 2024.
He further noted that the main objective of the bill was to enact a legislation that aligned with global dynamics as they relate to the regulation of capital market through provision of innovative regulatory framework.
“The bill 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.”
READ ALSO: Reps demand the execution of security resolutions so far in the 10th House
He said that the overriding purpose of the proposed legislation was to strengthen the capacity of the commission for the effective performance of its statutory mandate as well “reposition this vital sector of our economy for national economic transformation”.
Supporting the bill, Sen. Tokunbo Abiru (APC, Lagos East) said that the bill would not only bring about discipline and improvement in the capital market but would also enhance the capacity of the regulator.
On his part, Sen. Isa Jibrin (APC, Kogi East) said “we have been having problems in terms of definite assignments that the Securities and Exchange Commission (SEC) is supposed to carry 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.”
In his remarks, the President of the Senate, Godswill Akpabio, said that many individuals would be content to invest money in the capital market if they knew that a significant portion of the risk had been reduced.
Subsequently, he referred the bill to the Senate Committee on Capital Market, asking them to report back within the next four weeks.
