The Securities and Exchange Commission (SEC) says it will give unique identifiers to capital market operators.
This, the commission said, is aimed at curbing issues of fraud in the capital market.
According to a statement issued by the commission, Lamido Yuguda, SEC DG, disclosed this at a recent meeting with the management of Nigeria Data Protection Bureau (NDPB) in Abuja.
Yuguda said the move was part of efforts by the SEC to manage identities of participants in the capital market.
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He said the unique identifiers will also reduce the high number of unclaimed dividends.
According to him, the identity management project in the capital market would ensure that market transactions are secured and done on a ‘straight-through processing’ basis, leaving very little human intervention in the processing of data.
The director-general said that the commission was currently engaging stakeholders to harmonise various databases of investors and facilitate data accuracy in the market.
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“As far as the commission is concerned, we have an information technology (IT) transformation project underway that seeks to strengthen our data protection within the commission and the capital market,” Yuguda was quoted as saying.
“It will be up to speed in terms of modernity, efficiency, and protection of the database of the commission and the capital market.”
On his part, Vincent Olatunji, national commissioner of the NDPB, commended SEC for its robust data policy and expressed the readiness of the bureau to collaborate with the commission.
Perturbed by online fraud and identity theft, SEC has been striving to stem the practice in the capital market.
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Yuguda had described identity theft as a fraudulent practise of using another person’s name and personal information to obtain shares, credit, and loans, among others.
Last month, the commission said an identity management system currently being developed by the capital market will tackle the lingering identification issues.
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