Nigeria’s Securities and Exchange Commission (SEC) has issued a firm call to action for the financial sector to strengthen and sustain a proactive compliance culture, following the country’s recent, significant removal from the Financial Action Task Force (FATF) Grey List.
Speaking at the Nigerian Capital Market Institute Compliance Summit, Emomotimi Agama, Director General of the SEC, described Nigeria’s exit from the grey list as a major national achievement. He framed it as a “resounding global affirmation” of the country’s collective and unwavering commitment to strengthening its Anti-Money Laundering and Counter-Financing of Terrorism (AML/CFT) framework. He praised the joint efforts of public and private sector institutions, including operators and compliance professionals, for achieving this milestone.
However, the DG issued a strong caution against viewing the achievement as an end goal. “Exiting the grey list is not the finish line; it is the starting block for a new race,” Agama stated, emphasising that the world is now watching to see if the reforms are sustainable and whether the compliance culture is truly entrenched. He stressed that international investors and global financial institutions will monitor this closely.
Agama declared that robust compliance is no longer just a regulatory obligation but has become the market’s “single most powerful competitive advantage.” He argued that a compliant market is inherently transparent and trustworthy, making it the most desirable destination for capital investment. A strengthened compliance regime, he noted, signals to the international community that Nigeria is “open for business, safe, secure and sophisticated.”
To maintain this global standing, the SEC DG called for continuous improvement across all institutions. His recommendations included the adoption of modern technology solutions like RegTech and SupTech, regular training for compliance officers, and the aggressive promotion of ethical conduct throughout the financial ecosystem. The SEC, he assured, will continue to provide strong regulatory guidance and constructive supervision to ensure sustained global alignment.
Further addressing attendees, Frana Chukwuogor, Executive Commissioner, Legal and Enforcement at the SEC, highlighted the new Investment and Securities Act 2025, which has recently become law. She identified that a lack of information regarding regulatory changes poses a significant challenge for market operators. The summit was therefore tasked with addressing new issues and potential risks, specifically those posed by Ponzi schemes and the emerging field of digital assets. She urged chief executives to ensure their compliance staff fully understand the new Act. The Commission, she added, will enforce adherence by measuring compliance through the timely filing of returns, with sanctions for failure to comply.
The central message from the SEC is a collective commitment to consolidating this national success, ensuring Nigeria never again faces inclusion on the grey list, and instead establishes itself among the world’s most resilient and compliant emerging markets.
