Securities and Exchange Commission (SEC) yesterday said that Nigeria’s digital finance ecosystem recorded about $96bn in cryptocurrency and other virtual asset transactions.

Emomotimi Agama, director-general, SEC,

Emomotimi Agama, director-general, SEC, revealed this during a Citizens and Stakeholders Engagement Session organised by the Federal Ministry of Finance in Abuja.

He noted the the size of transactions within the digital asset space makes regulation necessary in order to protect investors and ensure transparency.

According to him, the regulatory framework for the sector was strengthened following the enactment of the Investment and Securities Act 2025, which gives the commission powers to regulate digital assets and other emerging financial technologies.

He said the law also confirms the SEC as the apex regulator of the capital market while introducing provisions aimed at monitoring systemic risks and aligning Nigeria’s market operations with global standards.

Agama said the Nigerian capital market has continued to support investment activities across the economy, adding that the commission approved ₦3.68 trillion worth of new capital market issues in 2024, covering both equities and fixed income instruments.

He added that the market played a major role in strengthening the banking sector during the recent recapitalisation exercise, with more than 31 banks raising funds through the capital market to meet new capital requirements.

The SEC director-general said the performance of the market has improved significantly in recent years, with total market capitalisation rising from ₦55 trillion in 2024 to about ₦127 trillion currently.

He added that the capital market’s contribution to the economy has also expanded, with the market capitalisation-to-GDP ratio rising from about 13 per cent to roughly 33 per cent.

According to him, the commission has introduced several measures aimed at protecting investors and building confidence in the market.

He disclosed that the regulator has issued more than 90 advisory notices warning Nigerians about suspicious investment schemes and risky financial offers.

Agama also said the commission has intensified its actions against fraudulent investment schemes, including Ponzi operations, while working with the Nigeria Police Force to investigate and prosecute offenders.

He warned that many people who fall victim to such schemes often invest in unregistered platforms promising unrealistic returns, advising investors to verify whether any investment opportunity is approved by the SEC before committing funds.

The SEC boss said the capital market has also supported infrastructure development across the country through bond issuances by state governments.

He explained that several public projects including markets, stadiums and other infrastructure have been financed through subnational bond issuances raised in the capital market.

According to him, Nigeria protects investors in state bonds through the Irrevocable Standing Payment Order (ISPO) system, which allows loan repayments to be deducted directly from states’ allocations from the Federation Account.

Agama said the commission has also established an Office of Municipal Fund Development to help state and local governments access capital market financing for development projects at the grassroots level.

He added that the SEC supported the launch of the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF) to help address Nigeria’s housing deficit by providing long-term funding that allows Nigerians access to mortgages at single-digit interest rates.

Looking ahead, he said the commission is working to deepen the market by raising the capital market capitalisation-to-GDP ratio from about 30 per cent toward levels seen in emerging economies such as India, where the ratio stands at about 92 per cent.

Also speaking at the session, Mr. Raymond Omenka Omachi, permanent secretary of the Federal Ministry of Finance, addressed concerns about the performance of the federal budget, explaining that several factors have affected implementation.

He said Nigeria has faced challenges meeting the oil production benchmark of about 2.1 million barrels per day, while fluctuations in global oil prices have also affected revenue.

The Permanent Secretary added that the budget benchmark was set at $75 per barrel, but oil prices at some point fell below $60 per barrel, reducing expected government revenue.

He noted that rising debt servicing obligations and increased salary commitments have also placed pressure on available funds.

According to him, the government is taking steps to improve the situation through regular monitoring of revenue and expenditure.

He said the ministry now holds weekly cash management meetings every Monday to review government finances and identify ways to boost revenue performance.

The Permanent Secretary added that the government expects improvements once Nigeria returns to operating a single budget cycle, noting that plans are underway to collapse overlapping budgets so that the country will run only one national budget from 2026 onward.

Telecom companies should invest in sophisticated anti-fraud tools that employ machine learning and Artificial Intelligence (AI) to enhance detection and response times while conducting regular audits to ensure that systems remain up-to date and effective.

That’s according to Pricewaterhouse Coopers (PwC’s) latest paper on AI fraud in the Telecom sector.

The paper notes the dual role of Artificial Intelligence as both a threat and a shield highlights the need for Nigerian telecom operators to adopt AI deliberately and strategically.

It calls for a deeper understanding of how technological disruption is transforming fraud risks today and how those risks may evolve in the.

The professional services firm noted that the rapid adoption of AI is reshaping the fraud landscape in the telecommunications sector, enabling criminals to automate scams, impersonate victims through deepfake technologies, and scale fraudulent schemes with unprecedented speed.

The 16-page report, titled ‘AI’s Dual Role in Telecom Fraud’, noted that while AI is helping fraudsters launch more sophisticated attacks, the same technology can also serve as a powerful defensive tool for telecom operators and financial institutions.

“AI has tremendous potential to drive positive change across sectors, but it also enables fraudsters to create and disseminate scams quickly and at scale,” PwC said, warning that the expanding digital ecosystem linking telecom networks and financial services is creating new vulnerabilities.

Fraud has long posed a significant challenge for telecom operators worldwide, resulting in financial losses, reputational damage, and regulatory scrutiny.

Globally, telecom fraud was estimated at approximately $38.95 bn in 2023, highlighting the scale of the problem. In Nigeria, the sector has also faced rising risks.

According to the Nigerian Communications Commission (NCC), citizens lost approximately N12.5 bn to telecom-related financial crimes between 2019 and January 2023.

PwC said the growing integration between telecom networks and financial services, such as mobile money platforms and digital banking, is further complicating the fraud landscape.

“When fraud occurs across interconnected platforms, both telecommunications and financial services providers face regulatory scrutiny and erosion of customer trust,” the report said.

The firm added that telecom operators are increasingly becoming critical infrastructure for digital financial services, exposing them to greater risk as criminals target the ecosystem.

Despite these risks, PwC said telecom companies have a unique advantage in the fight against fraud due to the vast amount of network and customer data they possess.

By deploying advanced AI systems, telcos can detect suspicious activity patterns, flag unusual call behaviour, and identify fraudulent transactions in real time.

For example, AI-driven pattern recognition can analyse large datasets to detect irregular call durations, unusual call frequencies, or activity occurring at odd hours, indicators that may signal fraudulent activity.

Machine learning models trained on historical fraud cases can also help identify subtle warning signs that traditional detection systems might miss.

PwC noted that some telecom operators are already deploying AI-powered spam detection tools capable of analysing hundreds of behavioural parameters to determine whether a message is fraudulent.

Real-time data analysis, the firm added, can allow companies to block fraudulent activities before they cause major financial damage.

Beyond fraud detection, AI can also help organisations respond more effectively to incidents.

Using natural language processing, generative AI systems can convert technical security data into simplified reports tailored for regulators, executives, and compliance officers.

However, PwC said technology alone will not be enough to curb the growing threat.

The firm stressed that stronger collaboration between telecom operators, financial institutions, and regulators is essential to prevent fraud from spreading across digital platforms.

Telecom companies, it said, possess sophisticated tools capable of monitoring call patterns and network behaviour, which could help banks detect suspicious activities such as SIM swap attempts.

At the same time, banks have developed advanced fraud detection algorithms that could enhance telecom operators’ ability to identify suspicious activity across their networks.

“By sharing insights and real-time threat intelligence, both sectors can strengthen their individual and collective defences,” PwC said.

The firm cited international examples where such collaboration has improved fraud detection and response times, including initiatives in the United Kingdom, Singapore, Australia, and the Philippines. PwC also emphasised the importance of closer engagement with regulators such as the Central Bank of Nigeria and the Nigerian Communications Commission to ensure clear and responsive regulatory frameworks that support innovation while protecting consumers.

Okpi Bernard Adaafu, a legal practitioner, has dragged the federal government of Nigeria before the Federal High Court in Abuja, challenging the legality of a controversial health data sharing agreement between Nigeria and the United States of America.

The suit names the President of Nigeria, the Attorney-General of the Federation and Minister of Justice, the Federal Ministry of Health and Social Welfare, the Senate President of Nigeria, and the Speaker of the Nigerian House of Representatives as defendants.

In the originating summons filed before the court, Adaafu is asking the court to determine whether the bilateral health cooperation Memorandum of Understanding signed between Nigeria and the United States violates the constitutional rights of Nigerian citizens, particularly their rights to privacy and protection of personal data.

According to court documents, the agreement, signed on December 19, 2025, permits the collection and transfer of sensitive health information of Nigerians to the United States.

The data reportedly includes medical records, blood samples, pathogen testing information, and DNA or genetic sequencing data.

The plaintiff argued that while only a summarized version of the agreement has been made public, a related Specimen Sharing Agreement allegedly obliges Nigeria to provide biological samples and related data to the United States within five days of request and could remain in force for up to 25 years.

He contended that such an arrangement, if implemented, would violate the National Health Act 2014, which guarantees the confidentiality of patients’ medical records, as well as the Nigeria Data Protection Act 2023, regulating the processing and cross-border transfer of personal data.

The suit further argued that the agreement breaches Section 37 of the Constitution of the Federal Republic of Nigeria 1999, which guarantees the privacy of citizens.

Adaafu also raised concerns about statements suggesting that the programme would provide substantial support to Christian faith-based healthcare institutions.

According to him, the inclusion or perceived emphasis on religious affiliation within a national healthcare framework is unnecessary, constitutionally questionable, and capable of triggering avoidable social tension in a multi-faith society such as Nigeria.

He argued that healthcare interventions funded through international cooperation must remain neutral, inclusive, and accessible to all Nigerians regardless of religion, ethnicity, or social background.

Another issue raised in the suit is the alleged exclusion of the National Assembly of Nigeria from the process.

The plaintiff maintained that international agreements with significant national implications must undergo legislative scrutiny and approval before implementation.

Among the reliefs sought, Adaafu asked the court to issue an order prohibiting discriminatory agreements based on religion, ethnicity, or other protected characteristics.

He also requested a declaration that the agreement violates both the National Health Act 2014 and the Nigeria Data Protection Act 2023.

In addition, the plaintiff is seeking an order suspending the implementation of the agreement, which is scheduled to commence on April 1, 2026.

Explaining the reason for filing the suit, Adaafu said he decided to approach the court because of the potential implications of the agreement on the privacy, sovereignty, and constitutional rights of more than 200 million Nigerians.

He noted that the issues raised in the suit deserve public awareness and national discourse, stressing that transparency and accountability are necessary in matters involving citizens’ sensitive medical and genetic information.