Stakeholders to Protect Capital Market Activities from Online Dangers

Stakeholders to Protect Capital Market Activities from Online Dangers

In the pursuit of sustained economic growth, bolstered liquidity, and increased transactional activity across asset classes, safeguarding Nigeria’s capital markets from cyber threats emerges as a crucial imperative.

Governance experts stress the necessity for cybersecurity literacy, tailored risk management metrics, and intensified strategic oversight to harness the benefits of artificial intelligence (AI) while mitigating cybersecurity risks.

The Institute of Chartered Secretaries and Administrators of Nigeria (ICSAN) recently convened a forum themed “The Implications of Artificial Intelligence and Cybersecurity to Capital Market Operations” to address these concerns. Simon Aranonu, Executive Director of Large Enterprises Directorate at the Bank of Industry (BoI), emphasized the growing susceptibility of markets to cyber threats amidst burgeoning economic activity and diverse investment opportunities.

Aranonu underscored AI’s transformative potential across financial services, highlighting its pervasive influence on capital market dynamics.

He stressed the imperative for proactive measures to safeguard market transactions, citing direct consequences of cyber breaches such as operational disruption and financial losses, alongside indirect repercussions on market reputation and regulatory fines.

Funmi Ekundayo, President of ICSAN, emphasized the strategic significance of cybersecurity in contemporary governance and corporate secretarial practices, particularly within capital markets. She urged stakeholders to harness AI’s benefits while mitigating associated risks effectively.

Catherine Nwosu, CEO of Africa Prudential Plc, advised regulators to fortify data protection measures to sustain ongoing capital market activities.

She advocated for robust cybersecurity protocols within businesses, including app security enhancements and staff training on modern cybersecurity standards.

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