…As FG seeks judiciary’s support to build market confidence, attract investment
…Judges won’t remain passive arbiters – CJN
…As EFCC charges 58 firms over Ponzi schemes
Abuja-The Federal Government has called on the judiciary to play a more proactive role in deepening the country’s capital market by delivering timely, well-reasoned, and technically sound judgments capable of boosting investor confidence and attracting long-term capital.
Accordingly, he said sound court rulings will be vital for investors’ trust in the economy.
Shettima made the call at the opening of a two-day judges’ workshop organized by the Securities and Exchange Commission, SEC, in Abuja, with the theme, “Repositioning the Nigerian Capital Market for National Economic Transformation through Effective Dispute Resolution.”
Represented by the Special Adviser to the President on Economic Affairs (Office of the Vice President), Dr. Tope Fasua, the vice president described the capital market as the “lifeblood of modern economies,” stressing the importance of judicial efficiency in fostering market growth.
He warned that delays, inconsistencies or a lack of sector-specific expertise in the judiciary could create systemic risks and discourage both domestic and foreign investments.
“The capital market is far more than just a platform for buying and selling securities. It is a sophisticated ecosystem that mobilises long-term capital for productive investments. It connects savers with investors, providing liquidity for businesses to grow, innovate and create jobs.
“It is where infrastructure projects find funding, where small and medium enterprises, SMEs, can scale, and where the dreams of entrepreneurs take flight,” VP Shettima said.
He emphasised that in a country, such as Nigeria, with its youthful, dynamic population and abundant potential, the capital market assumed even greater importance.
He said: “It is a critical tool for diversifying our economy beyond oil, promoting indigenous industrialisation, and attracting both local and foreign direct investments.
‘’A well-functioning capital market can unlock latent wealth, deepen financial inclusion and ultimately improve the living standards of our people.’’
Shettima pointed out that the effectiveness of “any capital market hinges on one fundamental, non-negotiable element – trust. Investors, whether local or international, institutional or retail, will only commit their hard-earned capital where they are confident that their investments are secure, that transactions are transparent, and that their rights are protected”.
He added that disputes in the capital market were inevitable and could arise from contractual breaches, market manipulation, insider trading, corporate governance infractions, or disagreements over interpretation of securities laws.
“What truly matters is not the occurrence of disputes, but how swiftly, fairly, and expertly they are resolved,” he stated.
In his address, the Chief Justice of Nigeria, Justice Kudirat Kekere-Ekun, said the capital market was no longer a distant abstraction limited to high finance or institutional investors but had become a critical lever of economic participation and empowerment.
Kekere-Ekun, who was represented by Justice of the Supreme Court, Justice Stephen Adah, observed that like all vital systems, the capital market was also vulnerable.
“The capital market is a repository of trust, but also a potential site of distortion. It is a platform for innovation, but also susceptible to fraud and regulatory arbitrage.
‘’In this regard, the judiciary has a profound role to play. Not as passive arbiters, but as active custodians of economic integrity and commercial justice,” she stated.
Director General, Securities and Exchange Commission, Dr. Emomotimi Agama, said the workshop was part of the commission’s efforts to engage the judiciary in all aspects of capital market operations, following the enactment of the Investment and Securities Act (ISA) 2025.
He said: “This landmark legislation marks a significant milestone in Nigeria’s economic and financial sector, reinforcing investor confidence, strengthening regulatory frameworks and enhancing the nation’s position in global markets.
‘’The ISA 2025 is a legislative success, a legal milestone and a reform that ushers in a new era for our capital market.
“By enacting this progressive law, Nigeria has taken a bold step toward fostering a more transparent, efficient, resilient and secure investment climate. The diligent efforts of the executive and legislative arms in ensuring the seamless passage of this Act reflect a shared commitment to economic growth, financial stability and sustainable development.’’
The Chairman, Economic and Financial Crimes Commission, EFCC, Mr Olanipekun Olukoyede, in his remarks, disclosed that the commission had recently charged 58 unlicensed businesses operating pyramid schemes in Nigeria, with two convictions secured.
Olukoyede harped on the importance of updating the knowledge and understanding of the judiciary, given the constant changes in the operation of the capital market space, including the trading of digital assets.
“You are aware of the ongoing cases we have in courts against Binance, CBEX and other related cases, with respect to financial and investment frauds.
‘’It has come to a point in Nigeria where it has become very important for us to understand the intricacies involved in some of these emerging issues in virtual assets,” he added. – By Obas Esiedesa
Source; Vanguard News
