SEC gets AfDB’s grant for risk-based supervision project
SEC receives AfDB’s grant for risk-based supervision project
The Securities and Exchange Commission (SEC) has received financing from the African Development Bank (AfDB)towards the cost of regulatory capacity improvements under the risk-based supervision framework and capacity building project.
The grant from the AfDB Group administered/Capital Markets Development Trust Fund is to finance the risk-based supervision framework implementation and capacity development project.
According to SEC, the principal objectives of the project are to provide technical assistance and capacity building in selected areas of the commission’s operations, support implementation of risk-based supervision framework, improve the securities markets regulatory environment and broad market instruments that will help deepen the capital markets in Nigeria and strengthen the commission’s supervisory tools as well as its capacity to achieve its mandate of investor protection and minimising systemic risk.
For the project, the mode of procurement to be adopted is quality and cost-based (QCBS) and the risk-based supervision framework implementation component would involve the development of best practise risk-based supervision inspection manuals, tools and guidelines for the market.
“The envisaged activities also include capacity building on prudential risk-based supervision approach including the development or update of relevant risk matrices and models for data analysis and interpretation as well as expansion of existing AML/CFT matrix.
“Capacity building in risk-based supervision will focus on enhancing SEC’s approach in carrying out its monitoring and supervisory role over all capital market operators namely; fund/investment managers, conventional & commodity exchanges, stockbrokers, issuing houses (investment banks) etc” SEC stated in a statement released yesterday.
