A new directive from the Securities and Exchange Commission (SEC) imposing tenure limits on directors of capital market operators has sent waves of anxiety across Nigeria’s financial markets, with many industry players scrambling to understand who is affected and how soon enforcement will begin.
In a circular released last Friday, the SEC announced that directors of all Capital Market Operators (CMOs) designated as “significant public interest entities” will now be subject to strict tenure limits.
According to the rule, directors may serve a maximum of 10 consecutive years in the same company and 12 consecutive years across the same group structure.
