The Securities and Exchange Commission (SEC) has launched a Capital Market Working Group on Market Liquidity, with ambitious plans to bring 20 million new investors into the Nigerian capital market through the use of technology.

SEC Director-General, Emomotimi Agama, inaugurated the Working Group on Friday in Abuja, emphasizing that a broader investor base is crucial for improved market liquidity and resilience. Agama noted that while market capitalization has experienced significant growth, active participation remains limited to a small portion of the population.

According to Agama, the shallow investor base hinders the market’s efficiency in allocating capital, leading to concentrated trading activity among institutional players and a narrow segment of retail investors. The Commission intends to utilize digital platforms and fintech partnerships to convert passive savers into active investors. Initiatives like the dematerialization of share certificates and collaboration with financial technology firms are key steps toward simplifying access to capital market products, he said.

The SEC chief also highlighted the Investments and Securities Act 2025, which brings digital assets under regulatory oversight, as creating opportunities to channel speculative capital into regulated investment instruments.

Agama pointed out that Nigeria’s market capitalization has increased from approximately N55 trillion in April 2024 to over N123.93 trillion. He noted that while the market’s contribution to the GDP has risen from 13% to 33%, this is impressive but still insufficient. Building a large and inclusive investor base is essential for transforming Nigeria’s capital market into a robust platform for mobilizing long-term capital for economic growth, he stated.

Nairametrics reported that the Nigerian equities market closed January 2026, the first trading month of the year, on a strong note, rising 6.27% as over 15 billion shares exchanged hands. The All-Share Index rose from 155,612.9 points to 165,370.4, gaining 9,757.5 points and surpassing the 160,000-mark for the first time. In February, the market has sustained its rally, with the All-Share Index crossing the 190,000-mark for the first time on February 17, 2026.