Reps hail SEC, demand higher revenue despite zero government funding

The House of Representatives Committee on Finance on Tuesday commended the Securities and Exchange Commission for strengthening its financial sustainability through cost-cutting measures and improved revenue generation.

The lawmakers, however, challenged the Commission to exceed its 2026 revenue target by at least 20 per cent despite operating without budgetary support from the Federal Government.

Speaking during the 2026 Revenue Monitoring Exercise with the SEC in Abuja, the Deputy Chairman of the House Committee on Finance, Saeed Musa Abdullahi, praised the Commission’s financial performance and urged it to sustain the momentum.

According to him, the National Assembly had closely monitored the SEC’s progress over the years and was impressed with its achievements.

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.”

Abdullahi stressed that the oversight exercise was not intended to victimise government agencies but to improve their performance at a time of mounting fiscal pressure.

“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,” he said.

The lawmaker urged the Commission to outperform its revenue projection for 2026.

“You have told us your revenue projection for 2026, but we believe you can do more. We urge you to surpass your projection by at least 20 per cent, or even more,” he added.

Earlier, the Director-General of the SEC, Dr Emomotimi Agama, told the committee that the Commission operates independently in line with the principles of the International Organization of Securities Commissions.

Agama disclosed that the SEC receives no budgetary allocation from the Federal Government, relying entirely on internally generated revenue from the capital market while continuing to remit funds to the government.

“The SEC does not receive any funding from the government; rather, it pays money to the government,” he said.

He explained that statutory deductions were automatically made once the Commission’s revenue entered its account with the Central Bank of Nigeria before it could access the balance.

“We do not have access to the funds before the deductions are effected,” Agama said.

He revealed that the Commission obtained approval from the Minister of Finance for a 20 per cent waiver on the deductions to prevent its regulatory activities from being undermined.

“As regulators, we are not expected to ask the market for money,” he stated.

Agama also disclosed that the SEC had secured a grant from the African Development Bank to procure a modern market surveillance system scheduled for deployment this year.

According to him, the facility will enhance oversight of Nigeria’s capital market and bring its regulatory framework closer to international best practices.

The House Committee reaffirmed its commitment to monitoring revenue-generating agencies to promote efficiency, transparency and greater contributions to the Federation Account.