President Bola Ahmed Tinubu has officially signed the Investments and Securities Act (ISA) 2025 into law, marking a significant advancement in Nigeria’s capital market regulation.
This new legislation repeals the Investments and Securities Act of 2007 and introduces comprehensive reforms aimed at bolstering investor confidence, enhancing market oversight, and aligning Nigeria’s financial markets with global standards.
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In a statement released on Saturday, March 29, 2025, the Securities and Exchange Commission (SEC) announced the presidential assent, highlighting the transformative impact of the new Act.
Dr. Emomotimi Agama, the Director-General of the SEC, remarked, “The ISA 2025 reflects our commitment to building a dynamic, inclusive, and resilient capital market. By addressing regulatory gaps and introducing forward-looking provisions, the new Act empowers the SEC to foster innovation, protect investors more efficiently, and reposition Nigeria as a competitive destination for local and foreign investments.”
The statement further emphasized the SEC’s appreciation for the collaborative efforts that led to the enactment of the ISA 2025. It commended the National Assembly for its dedication and patriotism in passing the bill, noting that “the meticulous deliberations, extensive stakeholder engagements, and bi-partisan support demonstrated throughout the legislative process highlight the National Assembly’s resolve to foster economic growth and enhance investor confidence.
” The SEC also acknowledged the invaluable contributions of the Minister of Finance and the Minister of State for Finance, stating that “their strategic guidance, policy expertise, and steadfast support have ensured that the ISA 2025 aligns with Nigeria’s broader economic objectives.”
The ISA 2025 introduces several key reforms, including the formal recognition of virtual assets such as cryptocurrencies as securities, thereby bringing them under the regulatory oversight of the SEC.
The Act also classifies securities exchanges into Composite and Non-Composite categories and introduces stricter measures to combat Ponzi schemes, prescribing stringent jail terms and sanctions for promoters of fraudulent investment programs.
Additionally, the law enhances the SEC’s enforcement powers and aligns its regulatory structure with the International Organization of Securities Commissions standards, strengthening Nigeria’s standing in the global financial system.
Market analysts have welcomed the new law, viewing it as a pivotal move toward providing greater clarity for investors and deepening Nigeria’s capital market. With provisions for commodities exchanges, warehouse receipts, and new categories of issuers, experts believe the Act will unlock fresh investment opportunities and facilitate economic growth.
The SEC has assured stakeholders of a seamless transition from the repealed ISA 2007 to the new regulatory framework, with engagements planned to ensure smooth implementation. This development is expected to enhance market integrity, improve systemic risk management, and boost investor confidence in Nigeria’s financial