The Securities and Exchange Commission (SEC) has said that the operationalization of Crowdfunding will accelerate the Financial Inclusion agenda in Nigeria, while increasing the quantum of investible funds by unlocking the untapped capital in the economy.
Executive Commissioner Operations, SEC, Mr. Dayo Obisan stated this at a webinar with the theme “Accelerating Financial Inclusion Through Crowdfunding.
Crowdfunding platforms are websites that enable interaction between fundraisers and the crowd. It is in line with this that Crowdfunding has garnered a lot of attention from regulators across jurisdictions because of its potentials to further financial inclusion efforts.
Obisan said the event hosted by the SEC is first in a series, since the Commission’s Rules governing Crowdfunding became effective in January, 2021 with the main objective of “Investor safety” and it is aimed at providing a platform for knowledge and experience sharing among participants.
“It is also to raise awareness of participants, and indeed Nigerians, on Crowdfunding as a funding mechanism for Start-ups and MSMES, to enlighten them on experiences and lessons on Crowdfunding from other jurisdictions as it an alternative way of investment and financing of businesses.
“Certainly, this Roundtable discussion promises to be exciting. The faculty gathered here are experts in various fields and set to impact knowledge on Understanding Crowdfunding, its Regulatory Framework in Nigeria and the Potentials of Crowdfunding in accelerating retail participation in the capital market.
“I encourage every participant to take advantage of this educative forum as I have no doubt that this subject will lead to the birth of new ideas that will equip us with the requisites knowledge and skills to achieving financial inclusion through Crowdfunding” he added.
Obisan commended participants on their keen interest on the potential of achieving an all-inclusive capital market towards advancement and the growth of the Nigerian economy.
In her remarks, President African Crowd Funding Association, Mrs. Elizabeth Howard, described Crowdfunding as an umbrella term that explains the use of small amounts of money, obtained from a large number of individuals or organisations to fund a project, a business or personal loan and other needs through an online web based platforms.
