The Securities and Exchange Commission (SEC) is set to announce an upward review of the minimum capital requirements for capital market operators (CMOs), a move expected to reshape Nigeria’s capital market landscape.
Gatekeepers News reports that TheCable understands that the announcement, expected on Friday, is one of the resolutions reached at the last capital market meeting between the SEC and industry stakeholders at the close of 2025.
Confirming the planned recapitalisation exercise, Akeem Oyewale, chief executive officer of Marble Capital Limited, said the commission has concluded consultations but is yet to officially disclose the new capital thresholds.
However, a stockbroker familiar with the discussions told TheCable that the SEC plans to raise the capital base of broker/dealer firms to ₦1 billion, while brokers and dealers would be required to maintain minimum capital of ₦500 million and ₦700 million, respectively.
There are also speculations that the commission intends to increase the capital requirement for asset management firms to ₦5 billion, although this has not been officially confirmed.
Efforts to obtain clarification from the regulator were unsuccessful, as Efe Ebelo, head of the SEC’s external relations department, did not respond to enquiries on the reported figures.
Currently, the minimum capital base stands at about ₦300 million for broker/dealers, ₦200 million for brokers and issuing houses, ₦100 million for dealers, and ₦150 million for portfolio or asset management firms.
According to the SEC, capital requirements are set under Section 313(6) of the Investments and Securities Act (ISA) 2007, which empowers the commission to amend Schedule I of its rules and regulations.
In December 2025, the commission directed capital market operators to renew their registrations between January 1 and January 31, 2026, a move widely seen as a prelude to the recapitalisation exercise.
‘Fresh funds might be scarce’
Speaking to TheCable on Thursday, Oladele Adeoye, executive director at DataPro, said consultations had been ongoing around the possible increase in capital requirements.
“While I can confirm that there have been consultation around the possibility of raising capital for capital market operators, I am not aware an official announcement has been made. I am also not sure of the approved amount for categories of licences under the purview of SEC,” he said.
Adeoye said the recapitalisation drive was expected, noting that other financial sector regulators, including the Central Bank of Nigeria (CBN) and the National Insurance Commission (NAICOM), have carried out similar exercises.
He added that the current capital thresholds no longer reflect prevailing economic realities, given inflationary pressures and exchange rate movements.
However, Adeoye warned that raising fresh capital could prove difficult for operators.
“Fresh fund might also be scarce considering the stress from bank and insurance sectors,” he said.
“In the event of default, operators may be asked to cease operation. However, I am sure SEC will also encourage merger and acquisition.”
On the timing of the planned recapitalisation, Oyewale said the move was unavoidable, adding that “there is never a best time.”
