The Senate has advocated for an increased budgetary allocation to the Securities and Exchange Commission (SEC), citing the current provision of N22.40 billion for the commission’s 2024 budget as inadequate given its critical role in the nation’s economic development.
Senator Osita Izunaso, Chairman of the Senate Committee on Capital Market, expressed his dissatisfaction during the committee’s session with SEC’s Director-General, Dr. Emomotimi Agama, who appeared to defend the budget proposal. Senator Izunaso emphasized that SEC’s responsibilities encompass significant regulatory functions, including the emerging sector of cryptocurrency, which alone could potentially generate substantial revenue for the commission.
In addition to budgetary concerns, Senator Izunaso highlighted the importance of enhancing financial literacy among Nigerians to restore confidence in the capital market. He stressed the need for specific budgetary provisions aimed at promoting financial education, considering past events that have eroded public trust in the market.
Dr. Agama provided details of SEC’s budget estimate for 2024, outlining allocations such as N11.72 billion for staff costs, N1.22 billion for retirees’ funds scheme, N6.74 billion for recurrent expenditures, and N1.18 billion for capital investments. Despite efforts to enhance revenue through various strategies in recent years, including reducing staff numbers, Dr. Agama noted that SEC still faces challenges due to its current staffing levels, which he described as inadequate for effectively fulfilling its regulatory obligations.
In conclusion, the Senate’s call for increased funding reflects its recognition of SEC’s pivotal role in overseeing the capital market and its determination to ensure the commission is adequately resourced to carry out its mandates effectively.
