The figure of dividends that are yet to be claimed in the nation’s capital market has currently risen to N190 billion, the Securities and Exchange Commission (SEC) has disclosed.
Director-General of SEC, Mr Lamido Yuguda made the revelation on Friday at the second post Capital Market Committee (CMC) media briefing in Abuja.
He attributed the rise in figure to the challenges associated with multiple subscriptions by investors during banking consolidation and identity management.
He however stated that the commission was working with the Nigeria Inter-Bank Settlement System (NIBSS), on the e-dividend portal to tackle the issue.
He added that the SEC was working with NIBSS to make changes to the electronic dividend portal currently going through some form of upgrading and repair.
“We are working very hard to ensure we reduce the number of unclaimed dividends. This is why we are upgrading the e-dividend portal with NIBSS to restore investors’ dividend and reduce unclaimed dividends.
“We reiterate that every person, who has come to the capital market and invested money, should be able to get his dividends as and when due,” Yuguda assured.
On dollar denominated bonds listed on NGX, the DG allayed the fears, saying that was not a problem as long as it was a corporate one.
He said that the task ahead of the market was undeniably challenging but that the capital market would step forward in whatever way to lend its helping hand to the current economic reforms.
“We introduced the Know Your Customer (KYC) requirement so that all information needed will be collated. The market must make sacrifices to help drive the economic transformation that will change our nation’s fortunes for the better.
“The Chairman informed the meeting that the Investments and Securities Bill (ISB) 2023 was under consideration by the 10th National Assembly.
“The Bill aims to align regulations with the modern dynamics of the market and it is hoped that if passed into law, it will enable optimal contribution of the capital market to national development,” he said.
Yuguda also added that market players were urged during the meeting to prioritise cyber-security measures to safeguard sensitive financial data and transactions.
He frowned at the trend where companies choose to de-list subscribers from the capital market.
Also speaking, the SEC Commissioner in charge of Operations, Mr Dayo Obisan, said one of the major issues bedeviling the commission was how beneficiaries can get access to claim their dividends.
“We keep putting our efforts to ensure that investors update their bank details, information and claim their dividends. But we still have some of them who fill in details wrongly.
“We at SEC are working very hard and we want to ensure bonuses get transferred to beneficiaries, capture everyone who is in the market so that our data is more robust.
“We can be able to work effectively on reducing unclaimed dividends,” Obisan said.
(NAN)