Capital market operators should be bracing up for recapitalisation programme as indications emerged on Thursday that the Securities and Exchange Commission (SEC) may introduce new minimum capital requirements.
Mr Reginald Karawusa, SEC acting Executive Commissioner, Legal and Enforcement, gave the indication at a media session with Business Editors in Lagos to unveil the commission’s plans for 2020.
Karawusa, who was not definite on when it would be introduced , stressed the need for operators to have strong capital base in order to compete effectively in the market.
The Nigeria News Agency reports that some market operators are already expecting the eventual recapitalisation exercise, given the SEC rule 57 & 58 on Net Capital introduced by the commission in January 2020.
The rules require all stockbroking firms, on monthly basis, to compute and file with the commission and the Nigerian Stock Exchange (NSE) their net liquid capital position not later than five days after end of the month.
The report would enable SEC and NSE to know broking firms that are in good and bad shapes.
“Some of us suspect that SEC may, at the end of the day, use these rules to determine the way forward for stockbroking firms and other operators in the market.
“We have over 200 stockbroking firms and less than five per cent control over 80 per cent of the trading activities in the market.
“So, some of us are expecting that a recapitalisation process may take place. What we do not know is the time,” a broker who sought anonymity said.
The last time SEC increased new minimum capital requirements for operators was in September 2013 with a deadline of December 2014.
However, the deadline was extended to Sept. 30, 2015 following pressure and protests by some stockbrokers.
Then the apex capital market regulator increased the minimum capital base for brokers/dealers from the existing N70 million to N300 million.
Minimum capital for broker only was raised from N40 million to N200 million, while the minimum capital base for dealers was increased from N30 million to N100 million.
Speaking on 2020 outlook, Ms Mary Uduk, SEC acting Director-General, said that the equities segment would benefit from various government initiatives targeted at improving the country’s business environment.
Uduk said that the market would also benefit from lower interest rate and increase liquidity through increase in loan to deposit ratio.
“The debt segment of the capital market is equally expected to benefit from increased sovereign bond issuances coming from the need to finance the high deficit of 2020 budget.
“Aided by the various Commission’s and market’s initiatives to further deepen the market, our outlook on the Nigeria’s capital market for 2020 is therefore generally positive,” she said.
Uduk said the finance bill signed into law had some benefits for the capital market, but they would have expected more gains in the area of taxes.
She said they would continue to push for more far-reaching benefits in future.
Uduk also said a market committee was engaging companies with a view to attracting more listings.
She highlighted some of the commission’s 2020 initiatives to include master plan execution, enforcement , upgrade of identity management on investor accounts to include Bank Verification Numbers and verifications, among others.
Edited By: Bola Akingbehin/Oluwole Sogunle
Group lauds Buhari on Edo Governorship poll
The Southern Nigeria Peoples Mandate (SNPM), a political pressure group, has commended President Muhammadu Buhari for ensuring hitch-free, fair and credible governorship election in Edo.
Mr Augustine Chukwudum, President of the group, made the commendation while speaking with the News Agency of Nigeria in Enugu on Monday.
“We commend our amiable President for allowing the election to be free, fair and credible. This shows that the President is a democrat that every Nigerian must be proud of.
“This was not the case when the Peoples Democratic Party (PDP) was at the helm of affairs of the Federal Government between 2003 to 2009.
“We are asking PDP at national level to thank the President for providing level playing ground for all candidates at the election, ” Chukwudum said.
He, however, congratulated Gov. Godwin Obaseki on his re-election for a second term in office, adding that it was a victory well deserved after a keenly contested election.
“It is widely evident that the governor performed very well for the people of Edo in the past three years.
“SNPM call on Obaseki to see his victory as divine mandate to improve on infrastructure in all communities in the state.
“Once more, we congratulate him and pray that the will of God would continue to shine in Edo,’’ he added.
MURIC mourns Emir of Zazzau
The Muslim Rights Concern (MURIC) on Monday expressed grief over the death of the Emir of Zazzau, Alhaji Shehu Idris, who passed on at the age of 84, in Kaduna.
MURIC director, Prof. Ishaq Akintola in a statement, also commiserated with the head of the Nigerian Muslim community, the Sultan of Sokoto and the Governor of Kaduna State over the death.
“The news of the passing away of the Emir of Zazzau is saddening.
“We commiserate with our leader, the Sultan of Sokoto and President-General of the Nigerian Supreme Council for Islamic Affairs (NSCIA), Alhaji Muhammad Sa’ad Abubakar.
“Our sympathy also goes to the Zazzau Emirate Council, particularly the Yariman Zazzau, Alhaji Munir Ja‘afar and the good people of Zaria.
“Shehu Idris was the 18th Emir of Zazzau and the Chairman of Zazzau Emirate Council as well as the Kaduna State Emirate Council.
He added that the late Emir Shehu Idris was a diligent, pious and patriotic Nigerian.
He noted that his patience could melt Mount Everest.
“He once ordered his convoy to turn back and find another route instead of telling the police to attack a Shiite procession that refused to allow his convoy to drive past.
“May Almighty Allah overlook his shortcomings and grant him a lofty place in Al-Jannah Firdaus. May Allah give the family the fortitude to bear the loss,” he prayed.
The News Agency of Nigeria reports that the remains of the late Emir was laid to rest in the ’emir’s palace’ of the ancient city of Zaria, Kaduna State.
The funeral prayers were led by the Chief Imam of the Zazzau Emirate Council, Alhaji Dalhatu Kasimu, in the palace at 5. 35p.m. in accordance with Islamic rites.
In attendance were Gov. Nasiru El-Rufa’i of Kaduna State, Secretary to the State Government Balarabe Lawal-Abbas, Speaker of the State House of Assembly, Yusuf Zailani, and other top government dignitaries.
The Chief of Staff to the President, Prof. Ibrahim Gambari, led the federal government delegation that included the Minister of Aviation, Sen. Hadi Sirika, Senior Special Assistant to the President on Media and Publicity, Malam Garba Shehu, head of military and paramilitary, among others.
NAN reports that the monarch spent 45 years on the throne having ascended to the throne in 1975 at the age of 36, following the demise of Alhaji Muhammadu Aminu, the 17th Emir of Zazzau.
He attended Katsina Training College and taught at Hunkuyi.
He served as private secretary to the Sarkin Zazzau, Muhammadu Aminu.
He became the secretary of the Zaria Native Authority Council in 1965, took the title of Dan Madamin Zaria and became the district head of Zaria and Kewaye in 1973.
Edited By: Sadiya Hamza
Ganduje mourns Emir of Zazzau
Gov. Abdullahi Ganduje of Kano State has commiserated with the people and government of Kaduna State over the death of Emir of Zazzau, Alhaji Shehu Idris, who died on Sunday at 84.
In a statement by his Chief Press Secretary, Abba Anwar, the Kano State governor described the death as a national tragedy and monumental blow to the nation’s traditional institution system.
He said “we lost a national hero, Alhaji Shehu Idris was an embodiment of humility, discipline, respect, statesmanship and exemplary leadership.
“His death leaves an indelible mark in the history of the Nigerian nation state.
“It is with sad note and deep sense of agony that we received the demise of this rare gem and a traditional leader of high repute with respectful global touch.”
Ganduje prayed for the reposed soul of the emir on behalf of the government and people of Kano State, to the families of the late emir, the Kaduna State government and the Zazzau Emirate.
“We pray for Allah’s blessing and forgiveness for the reposed soul of the great emir. May Allah forgive his shortcomings and reward his good deeds abundantly.” (NAN )
Edited By: Hadiza Mohammed-Aliyu
NCDC records 97 new COVID-19 infections, total cases now 57, 242
The NCDC disclosed this on its official twitter handle on Sunday .
It added that three persons died of COVID-19 complications while 138 patients, who recovered at various isolation centres across the country the same day, were discharged.
Based on the figures released, Lagos state recorded the highest number of infections with 46 new cases.
The data released also indicated that Kwara recorded 12 new infections, Rivers 11, and Adamawa 4.
Others were Niger – 4, Ogun – 4, Osun – 4, Ekiti – 3, Imo – 3, Kaduna – 3, Plateau – 2, and Federal Capital Territory (FCT) – 1.
“Till date, 57, 242 cases have been confirmed, 48, 569 cases have been discharged, and 1,098 deaths have been recorded in 36 states and the FCT,” the centre said.
Edited By: Kamal Tayo Oropo/Emmanuel Yashim