SEC Proposes New ₦3bn Capital Requirement for Forex Brokers

The Securities and Exchange Commission (SEC) is proposing to tighten regulations in Nigeria's online forex and contracts-for-differences market by introducing higher capital requirements and stricter operating standards. Under the draft framework, market-making forex brokers would need to maintain a minimum paid-up capital of ₦3 billion, while straight-through-processing and electronic communication network brokers would face a proposed threshold of ₦2 billion.

Additionally, technology and platform providers would be required to maintain at least ₦5 billion in capital. These proposals aim to enhance customer fund safeguards and could significantly reshape Nigeria's retail forex and CFD market.

The SEC published the draft rules on September 1, following the enactment of the Investments and Securities Act 2025. Stakeholder consultation will occur during the Regulation Forum at the Lagos Finance Summit, scheduled for October 14 to 16 at the Landmark Event Centre, Victoria Island, Lagos, where market participants can provide feedback on the proposed framework.