The Director General, Securities and Exchange Commission, SEC, Dr. Emomotimi Agama, has explained that issues around identity management would benefit the capital market and reduce the amount of unclaimed dividends in the market.

In a statement made available to our correspondent, the development was highlighted at a recent workshop on Identity Management for the capital market held in Lagos, recently.

The SEC Director General, noted that, “The identity management system currently being developed will provide a lasting solution to the issue of unclaimed dividends, reduce barriers of entry to the market, and make it more attractive to the youth segment, whose participation is currently very low.”

The workshop brought together stakeholders and industry players to deliberate on ways to resolve the lingering identity management issues in the capital market.

According to Agama, these issues have contributed to the increasing volume of unclaimed dividends negatively impacting the market’s attraction and competitiveness.

“In view of the promise to stem this undesirable trend going forward, the commission is very passionate about this initiative because its success would portend great potential for our market,” Agama added.

The journey to address identity management issues began in 2018 following discussions at the third Capital Market Committee meeting of that year.

“The Securities and Exchange Commission set up an in-house committee in January 2019 to identify and address legacy identity management issues in the market,” Agama noted.