Unclaimed dividends: Red indicator on Nigeria’s Capital market -Akpabio
Unclaimed dividends: Red indicator on Nigeria’s Capital market -Akpabio
Unclaimed dividends: Red indicator on Nigeria’s Capital market -Akpabio
Unclaimed dividends: Red indicator on Nigeria’s Capital market -Akpabio
The President of the Senate, Senator Godswill Akpabio has disclosed that unclaimed dividends represent not just a financial loss, but a loss of trust in Nigeria’s capital market.
Akpabio disclosed this, while declaring the one day Capital market public hearing open in Abuja, on Monday.
The Senate President, who was represented by Senator Binos Yaroe, noted that unclaimed dividends represent missed opportunities, dreams deferred and stagnant economy.
“We cannot afford to let this continue, We must rise to the challenge, confront the complexities, and find bold solutions that will restore faith in our financial systems and empower our investors.
According to Akpabio, Nigeria stands at a crossroads;
“We stand on a crossroads, where the choices we make Will shape the destiny of our capital market and the future of our nation.
“We have witnessed the exponential growth of unclaimed dividends, a reflection of the systemic issues that have plagued our financial sector for far too long.
He however recognized the tremendous potential that lies within.
“Nigeria endowed with vast resources and a resilient spirit, has the capacity to become a beacon of economic prosperity and opportunity.
“We have the power to transform our capital market into a vibrant hub of investment, innovation and wealth creation.
Also speaking the chairman Senate committee chairman on Capital market, Senator Osita Izunaso, said the issue of unclaimed dividends persists due to several factors.
Izunaso noted that challenges in identity management within the capital market, multiple subscriptions and historical inadequacies in capturing subscriber information during the era of paper dividend warrants, he said these longstanding issues have compounded the problem of unclaimed dividends.
He stated that the ongoing reforms of the electronic dividend portal, overseen by the electronic dividend mandate committee and NIBSS, aims to enhance its functionality and user-friendliness.
“Despite these efforts, we continue to grapple with significant volumes of unclaimed dividends, even within companies like MTN Nigeria, which underwent a digital offering with extensive documentation.
Its will be recalled that concerns have continued to grow following the Federal government’s decision to securitize unclaimed dividends and dormant account balances of up to six years in the country.
