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US$120million Unclaimed Dividend: Nigerian Investors Leaving Money on the Table

 Unclaimed Dividends


A staggering US$120 million (#190 billion) in unclaimed dividends currently sits idle in Nigeria’s capital market, according to the Securities and Exchange Commission (SEC). This massive sum, equivalent to unredeemed earnings owed to shareholders, has become a persistent challenge for regulators, investors, and the broader financial ecosystem.

What’s Behind the Accumulation?

Several factors contribute to this looming issue:

  • Out-of-date records and unclaimed shares due to shareholders relocating without updating contact or bank information.

  • Legacy complications such as multiple subscriptions under fictitious or old names from past eras, especially during the indigenization period of the 1970s, where investments were made under aliases—drivers, gardeners, deceased relatives—to evade detection.

  • Ongoing struggle with identity management and data integrity within systems like the electronic dividend (e-dividend) portal.



Regulatory Response: SEC Takes Action

The SEC is tackling the issue head-on:

  • Collaborating with the Nigeria Inter-Bank Settlement System (NIBSS) to upgrade the e-dividend portal, aiming to streamline dividend payout and reduce backlogs.

  • Rolling out nationwide investor education campaigns, including “investor clinics,” to raise awareness and simplify the claim process.

  • Engaging with stakeholders like the Association of Securities Dealing Houses of Nigeria (ASHON) to co-develop practical reforms to resolve the dividend backlog.



Unclaimed Dividends



Why This Matters

  • For many Nigerians, these unclaimed dividends represent forgotten personal wealth—a critical resource for families, especially in times of economic strain.

  • The sheer volume—US$120 million (₦190 billion)—signals both a market inefficiency and an opportunity: mobilizing these assets could deepen capital market participation and restore investor trust.

  • Addressing systemic issues—like data accuracy, identity validation, and procedural clarity—serves as a blueprint for broader financial market reforms.

How Investors Can Take Action

Shareholders are encouraged to:

  1. Engage the service of a Lawyer, Stockbroker or Registrar.

  2. Approach the SEC to register and claim the non-mandated dividend.

  3. Search their names to check for unclaimed dividends.


  1. Follow up with the dividend registration, ensuring correct bank details and identities are submitted.


  1. Partnering with capital market professionals can also ease the recovery process, especially for legacy or complex cases.

Conclusion:
Nigeria’s US$120 million (₦190 billion) unclaimed dividends is more than a statistic—it embodies untapped personal wealth and systemic inefficiencies. As regulators intensify efforts to recover these funds and improve transparency, investors have the chance to reclaim what’s rightfully theirs and help strengthen the capital market.
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