The House of Representatives has commended the Securities and Exchange Commission for enhancing its fiscal sustainability through cost‑cutting measures and improved revenue generation.

Deputy Chairman of the House of Representatives Committee on Finance, Saeed Abdullahi, gave the commendation on Tuesday during the 2026 Revenue Monitoring Exercise with the commission in Abuja.

Praising the SEC’s financial trajectory, Abdullahi urged its management to sustain the momentum and challenged the agency to surpass its 2026 revenue projection by at least 20 per cent.

He said, “DG, you have done significantly well. We have followed the progress of the SEC over the years and urge you to keep the flag flying. We will continue to celebrate you when you do well.

“This exercise is not to witch‑hunt any agency; it is aimed at ensuring better performance, especially at a time when the country is facing serious fiscal challenges.”

Earlier, the Director‑General of the SEC, Dr Emomotimi Agama, told the committee that securities regulators are expected to operate independently with government support where necessary, in line with International Organisation of Securities Commissions principles.

Agama revealed that the SEC receives zero budgetary allocation from the Federal Government, relying entirely on income generated from the capital market while continuing to remit funds to the government.

“Going by IOSCO principles, the SEC is expected to be financially independent.

The government is supposed to provide support for the running of the commission.

“However, due to the paucity of funds, all the money used to fund the commission comes from the market. The SEC does not receive any funding from the government; rather, it pays money to the government,” Agama explained.

He noted that statutory deductions are automatically effected by the government once revenues enter the commission’s account with the Central Bank of Nigeria, leaving the SEC with no prior access to the funds.

To ease operational pressure without overburdening market operators with extra fees, Agama disclosed that the SEC secured approval from the Minister of Finance for a waiver allowing it to retain 20 per cent of its income.

He added that the commission has secured a grant from the African Development Bank to acquire a modern market surveillance system, set for deployment this year to strengthen oversight of Nigeria’s capital market and align it with global standards.

AVA Capital Plc, an integrated financial services group, will be admitted to the main board of the Nigerian Exchange Limited on 31 July 2026, by way of listing by introduction.

The company, in a statement on Tuesday, said that the move represents a strategic transition into public markets that reinforces its long‑term institutional ambitions.

Speaking on the development, the Managing Director of AVA Capital Plc, Olukayode Fadahunsi, described the listing as a pivotal step for the firm.

He said, “Our admission to the Nigerian Exchange is a natural progression in AVA Capital’s evolution as a long‑term institution. We’re stepping into the public market with a solid foundation, an established platform, and a commitment to transparency. This is about cementing our place in Nigeria’s financial landscape and building a foundation for sustained growth.

“The public markets expect us to be open, disciplined, and responsible. We see these as strengths that help our institutions grow stronger over time.”

The admission marks a major milestone in the group’s evolution rather than a fundraising exercise. Unlike an Initial Public Offering, AVA Capital will not issue new shares or raise fresh capital. Instead, the listing is designed to enhance market visibility, strengthen corporate governance transparency, and deepen engagement with shareholders and the broader investment community.

AVA Capital Plc, through its subsidiaries, including AVA Global Asset Managers, AVA Securities, and AVA Trustees, has built an integrated financial services platform with a growing institutional footprint, structuring transactions exceeding N500bn in the 2025/2026 financial year.

The listing comes at a time when Nigeria’s financial services industry is placing increased emphasis on governance standards, transparency, and broader public market participation. AVA Capital already satisfies the Exchange’s free‑float requirement, with roughly 20 per cent of its issued shares held outside the controlling shareholder structure.

For the group, admission represents an institutional progression, aligning it more closely with the governance and disclosure standards of publicly traded companies while broadening market access. AVA Capital Plc enters the market with an established operating platform and a track record within Nigeria’s capital markets ecosystem.

The group previously marked the launch of the AVA Infrastructure Fund with a ceremonial closing gong at the NGX and operates across multiple regulated business lines under the supervision of the Securities and Exchange Commission.

“Because no new shares are being issued, the listing’s significance will likely be measured less by fundraising metrics and more by the quality of market participation, investor engagement, and the group’s ability to sustain long‑term value as a listed institution”, the statement added.

As Nigeria’s capital markets continue to deepen, the listing of indigenous financial institutions such as AVA Capital reflects a broader shift towards market formalisation, stronger corporate governance, and greater institutional participation in the domestic economy.

Nigeria’s net foreign liability position rose by $7.5bn to $90.2bn in 2025, as foreign investors’ claims on Nigerian assets increased faster than the country’s investments abroad, according to data from the Central Bank of Nigeria.

The rise in foreign liability position is an indication of stronger foreign portfolio and direct investment liabilities, partly offset by growth in Nigeria’s reserve assets and higher holdings of foreign investments by Nigerian residents.

The CBN’s International Investment Position report showed that Nigeria’s net financial liabilities rose from $82.7bn in 2024 to $90.2bn in 2025. The position was based on external assets of $125.6bn, representing investments held abroad by Nigerian residents, and foreign liabilities of $215.8bn, representing foreign investments in Nigerian assets.

Unlike the Balance of Payments, which measures the flow of trade and capital transactions during a period, the IIP captures the stock of external financial assets and liabilities at a particular point in time.

The increase in Nigeria’s external liabilities was largely driven by a $10.1bn increase in portfolio investment liabilities, mainly from foreign investments in government debt instruments such as OMO bills. Investors were attracted by high yields arising from Nigeria’s elevated interest‑rate environment.

Direct investment liabilities also increased by $6.7bn year‑on‑year, reflecting stronger foreign ownership positions in Nigerian companies and subsidiaries, a development that signals continued investor interest in selected sectors of the economy.

On the asset side, Nigeria’s reserve assets jumped by $5.6bn, strengthening external buffers and improving the country’s capacity to respond to external shocks. Additional growth in Nigerians’ direct, portfolio and other foreign assets contributed another $3.3bn.

However, the widening liability position highlights Nigeria’s growing dependence on foreign capital inflows and the need to improve the quality of external financing. While foreign investment has supported foreign exchange liquidity and helped ease pressure on the naira, a large concentration of inflows in short‑term portfolio investments could expose the economy to sudden capital outflows if global interest rates rise or investor confidence weakens.

The higher foreign debt securities holdings also mean that Nigeria may face increased pressure on foreign exchange resources when investors repatriate interest payments or exit their positions.

Economists argue that the country’s external sustainability will depend on attracting more long‑term foreign direct investment, expanding non‑oil export earnings and maintaining stronger reserve accumulation.

A sustained improvement in crude oil prices could provide additional support through higher export revenues and foreign exchange inflows. However, reducing vulnerability will require Nigeria to shift from reliance on short‑term yield‑driven capital flows towards productive investments that boost economic capacity and generate foreign exchange earnings, analysts say.