President Bola Ahmed Tinubu Signs ISA 2024 into Law: A Milestone in Nigeria’s Capital Market Reform

President Bola Ahmed Tinubu has made a significant move in Nigeria’s capital market reform by signing the Investment and Securities Act (ISA) 2024 into law. This new legislation replaces the former Investments and Securities Act of 2007 and aims to strengthen the legal and regulatory framework for investments and capital market activities in the country.

The Securities and Exchange Commission (SEC) has hailed this development as a transformative step towards enhancing investor protection, improving market transparency, and fostering sustainable growth. The enactment of the ISA 2024 reaffirms SEC’s authority as the apex regulator of Nigeria’s capital markets and introduces significant reforms to align local operations with international best practices.

One of the key highlights of the ISA 2024 is the expansion of SEC’s regulatory powers to meet global standards set by bodies like the International Organization of Securities Commissions (IOSCO). This enhancement allows SEC to maintain its “Signatory A” status under IOSCO’s Enhanced Multilateral Memorandum of Understanding (EMMoU), a crucial benchmark for credibility in global financial markets.

The Act introduces structural reforms and innovations across various dimensions of Nigeria’s capital market, including the classification of exchanges into Composite and Non-composite categories, regulation of financial market infrastructures, recognition of virtual assets as securities, and provisions for commodity exchanges and sub-national government fundraising.

SEC Director-General, Dr. Emomotimi Agama, praised the President’s assent to the ISA 2024, highlighting its significance for investor confidence and capital market development. The new law is expected to attract renewed interest in Nigeria’s capital markets from both local and international investors, setting the stage for deeper capital formation, economic diversification, and a more resilient market.

With the signing of the ISA 2024 into law, Nigeria takes a significant leap forward in its journey towards building a world-class capital market that is inclusive, innovative, and resilient. This development is poised to shape the future of Nigeria’s financial landscape and position the country as a competitive destination for investments.