A digital platform has been introduced by the Nigerian Exchange with the intention of expediting the investing procedure.
Temi Popoola, the Group Managing Director of the Nigerian Exchange Group Plc, revealed this information on Wednesday during a news conference in Lagos.
In order to provide consumers with a smooth and paperless experience, he continued, the platform would incorporate many capabilities, such as payment gateways, KYC procedures, and brokerage account administration.
In order to guarantee a smooth platform for both new and current investors, he continued, the organisation was working with the Securities and Exchange Commission.
“We are excited to introduce a new digital product that can distribute various services, emphasising the importance of quality UI/UX and collaboration. I want to appreciate the leadership and support from our regulator, acknowledging the evolution of our digital market and the contributions of those who came before us. Our regulator’s deep understanding of the market and digital assets is a significant advantage for us.
“Currently, investing in Nigeria involves filling out paper forms and dealing with various challenges.”
Our goal at the Nigerian Stock Exchange is to digitise the entire process, making it seamless and paperless. This digital transformation will bring numerous benefits, including improved efficiency and reduced reconciliation issues,” he remarked.
“Our new digital platform integrates several functionalities like payment gateways, KYC processes, and brokerage account management. It is designed to be user-friendly and customisable, allowing banks to integrate their payment systems. The platform also facilitates real-time KYC verification and seamless brokerage account setup for both new and existing investors. It is not an app but a platform.
“We have been working closely with the Securities and Exchange Commission and other stakeholders to develop this platform. While we are still waiting for SEC approval, we are confident in their support and eventual approval. Our platform aims to ensure compliance with regulatory requirements while providing a simplified and efficient investment process for all users,” he noted.
Additionally, the SEC’s Director-General, Emomotimi Agama, emphasised the organisation’s dedication to promoting programmes that improve the financial markets’ efficiency, fairness, and transparency.
In addition to assuring stakeholders that the SEC would strictly enforce adherence to regulatory standards and would be alert against any infractions, he added that the platform needed to be constructed to fit the needs of the younger generation.
“Innovation means doing things that have not been done before. The challenge lies in creating a summary quickly, but it is essential to ensure the key details are communicated effectively.
“Stockbrokers play a crucial role in this process, ensuring that they read and understand the prospectus thoroughly before passing on the information to clients. It is their responsibility to engage and educate investors, making sure they understand what they are investing in,” he declared.
Additionally, the SEC’s Director-General, Emomotimi Agama, emphasised the organisation’s dedication to promoting programmes that improve the financial markets’ efficiency, fairness, and transparency.
In addition to assuring stakeholders that the SEC would strictly enforce adherence to regulatory standards and would be alert against any infractions, he added that the platform needed to be constructed to fit the needs of the younger generation.
“In Nigeria, 74 per cent of the population is under 24 years. This demographic requires us to digitise our processes and engage them through technology they understand, like apps and digital platforms. We must adapt to their world to bring them into the investment market.
“Our goal is to reach millions, not just a few hundred investors. Our mission is to achieve a $1tn economy, as mandated by President Bola Ahmed Tinubu. We all have a role to play in reaching this goal, and with this new platform, we’re on the right path,” he said.
Applauding the innovation, the Managing Director and Chief Executive Officer of the Central Securities Clearing System, Haruna Jalo-Waziri, stated, “We believe this platform will contribute significantly to the deepening of our market and anticipate a positive impact on the economy.
“The CSCS has consistently been at the forefront of innovation, and this mentorship alliance reinforces its position as a premier post-market infrastructure. We look forward to continued collaboration and progress in achieving our shared goals.”
According to a PUNCH report, the Nigerian Exchange and Meristem Securities have partnered to introduce a USSD platform with the objective of improving financial inclusion and broadening access to the capital market.
