VERY SERIAL reports that the total amount of unclaimed dividends has recorded a 7.35% growth and soared to N190 billion, from the N177 billion figured witnessed last year, 2021, according to data just released from the Securities and Exchange Commission (SEC) at the quarterly Capital Market Committee meeting in Abuja.
The Securities and Exchange Commission (SEC) has revealed that the sum of unclaimed dividends within Nigeria’s capital market has surged to N190 billion.
Speaking at the second post-Capital Market Committee (CMC) media briefing in Abuja, Mr. Lamido Yuguda, the Director-General of SEC, cited identity management challenges as a key factor contributing to the increase.
He also pointed out that the rise was exacerbated by multiple subscriptions from investors during banking consolidation and identity management transitions. These factors, Yuguda noted, have compounded the issue of unclaimed dividends.
SEC partners with NIBSS to enhance electronic dividend portal
SEC is actively collaborating with the Nigeria Inter-Bank Settlement System (NIBSS) to address this concern.
The focus is on enhancing the e-dividend portal, which is undergoing upgrading and repairs with NIBSS’s assistance.
This initiative aims to restore investors’ dividends and subsequently reduce the alarming number of unclaimed dividends.
Mr. Yuguda emphasized the commitment to ensuring that investors receive their due dividends promptly.
He acknowledged the challenges ahead in the ever-evolving market landscape but expressed optimism that the capital market would actively support ongoing economic reforms.
Regarding the trend of companies opting to de-list from the capital market, Yuguda lamented the decision and underscored the market’s need to prioritize cyber-security measures to safeguard financial data and transactions.
Addressing the issue of beneficiaries accessing their dividends, Mr. Dayo Obisan, the Commissioner of Operations at SEC, highlighted efforts to encourage investors to update their bank details and information to facilitate smoother claims.
Obisan expressed determination to reduce unclaimed dividends by enhancing data accuracy and promoting efficient dividend transfer processes.