Nigeria Moves Toward Intelligent Investing as SEC Expands AI Regulation

Nigeria’s capital market is undergoing a major transformation as the Securities and Exchange Commission (SEC) intensifies efforts to integrate data, artificial intelligence, and technology-driven regulation into the nation’s investment ecosystem.

Speaking at the FSDH Investor Conference 2026 in Lagos on Wednesday, the Director-General of the SEC, Dr. Emomotimi Agama, said the future of investing will be shaped less by the size of available capital and more by access to quality intelligence, real-time data, and actionable insights.

Agama explained that global financial markets are rapidly evolving through the adoption of artificial intelligence, algorithmic trading systems, real-time analytics, and distributed ledger technology.

According to him, these innovations are redefining asset pricing, investment allocation, and risk management across the world.

He noted that the SEC is repositioning Nigeria’s capital market to remain globally competitive through reforms centered on innovation, efficiency, transparency, and stronger investor confidence.

As part of this agenda, Agama said the Commission’s seven-pillar infrastructure strategy includes plans to implement T+1 settlement cycles, establish regulatory frameworks for digital assets, and introduce guidelines for tokenised securities in line with international standards.

The SEC boss also disclosed that the Commission is developing governance principles for the use of artificial intelligence within the capital market.

He said the framework will focus on transparency, accountability, fairness, and explainability in AI-driven investment decisions.

According to him, investors should not only understand the outcomes of financial decisions but also the processes and systems behind those decisions.

Beyond technological advancement, Agama emphasized the SEC’s commitment to expanding investment opportunities to more Nigerians, particularly those traditionally excluded from formal financial systems.

He stated that the Commission’s intelligent investing initiative aims to create wealth-building opportunities for artisans, small-scale entrepreneurs, and low-income earners, thereby promoting greater inclusion in the capital market.

Agama further revealed that the SEC’s fintech-bank integration strategy is expected to attract nearly 20 million retail investors nationwide, a development that could significantly deepen market participation and increase long-term institutional investment in the economy.

He reaffirmed the Commission’s commitment to investor protection, highlighting stronger enforcement mechanisms, the establishment of a dedicated Investor Protection Department, and expanded financial literacy programmes to strengthen public trust in the market.

Agama added that ongoing macroeconomic reforms are gradually improving economic stability and positioning Nigeria’s capital market as a vital platform for infrastructure financing, economic growth, and sustainable national development.