We’ve partnered with NFIU to ensure Nigeria exits FATF grey list, says SEC DG

The Securities and Exchange Commission (SEC) says it is working with the Nigerian Financial Intelligence Unit (SEC) to ensure the country exits the Financial Action Task Force (FATF) grey list.

The FATF is an intergovernmental policy-making body that seeks to combat money laundering and the financing of terrorism.

When a country is put on the grey list, it is under increased monitoring by the FATF.

Emomotimi Agama, the director-general (DG) of SEC, spoke while delivering the keynote address at the commission’s 2024 journalists academy, themed, ‘Fintech: Leveraging Technology to Drive Capital Market Participation’.

Agama said the collaboration would enhance the credibility of Nigeria’s financial system in the international community and help avoid economic sanctions.

“The SEC is also actively working with the Nigerian Financial Intelligence Unit (NFIU) to ensure Nigeria exits the FATF grey list. This is crucial for the development of the financial sector,” the SEC DG said.

“This collaborative effort when successful, will ensure the international financial credibility of the Nigerian financial system and avert economic sanctions.”

Agama said the SEC was among 11 government agencies to achieve 100 percent implementation of reforms under the presidential enabling business environment council (PEBEC).

This, he said, enhances Nigeria’s appeal to investors by improving service delivery, disclosures, and access to vital regulatory information.

“The Presidential Enabling Business Environment Council (PEBEC) set up a 90-day Regulatory Reform Accelerator Programme earlier in the year,” he said.

“The programme was meant to improve service delivery across MDAs and for us this speaks to attracting both foreign and domestic investors by improving disclosures and access to relevant information.”

The SEC boss also highlighted ongoing efforts to improve Nigeria’s capital market, including updates to the Investment and Securities Act of 2007 and the approval of the ministry of finance incorporated real estate investment fund (MREIF).

According to Agama, the fund is designed to address Nigeria’s housing deficit through affordable mortgage financing, aligning with the federal government’s ‘one million homes’ initiative.

He reaffirmed SEC’s commitment to implementing the revised capital market masterplan (2021-2025) by prioritising stakeholder engagement, capacity building, awareness creation, and developing regulatory frameworks that support innovation in financial products.

SEC TO ENHANCE MARKET TRANSPARENCY, LEVERAGE FINTECH FOR FINANCIAL STABILITY BY 2025

Unveiling a snapshot of the SEC’s 2025 outlook, Agama said the commission’s priorities will include enhancing market transparency, leveraging financial technology (fintech) for inclusion and innovation, and collaborating with domestic and international stakeholders to ensure financial stability.

The SEC DG also acknowledged the crucial role of the media in shaping public perception and the understanding of Nigeria’s capital market, adding that through accurate reporting and constructive critique, the media can build trust and confidence in the market.