Stakeholders to safeguard capital market operations from cyber threats
GIVEN the huge investments and powers deployed to reposition the economy along a path of sustained growth by broadening asset classes, improving liquidity and deepening transactions, the need for proactive measures to be put in place to safeguard the volume of transactions in the nation's capital markets from cyber attacks have been underscored.
Governance professionals are of the view that for the Nigerian capital market to harness the advantages of Artificial Intelligence ( AI), organisations must cultivate a culture of cyber security literacy; align specific metrics for cyber risk management and also increase the pace and substance of ongoing strategic risk management.
They alluded to this at this year's company secretaries and registrars’ forum, organised by the Institute of Chartered Secretaries and Administrators of Nigeria ( ICSAN), with the theme ' The Implications of Artificial Intelligence and Cybersecurity Capital to
Market Operations'.
Executive Director of the Large Enterprises Directorate, Bank of Industry ( BOI), Simon Aranonu, said with the surge in diverse investment opportunities that the capital markets have witnessed in recent years, the integration of new and innovative technologies has resulted in increased economic activities, which makes the markets susceptible to cyber attacks.
Noting that the advancements in AI technology have permeated every facet of the capital market industry, he said AI has become deeply integrated and poised to redefine the landscape of financial services.
Accordingly, he said proactive measures must be put in place to safeguard the volume of transactions in the markets.
Aranonu mentioned that the market is exposed to two major cyber risks, which include the direct operational and financial loss impact of successful cyber- attacks as well as the indirect effect of such exposure to the market reputational and financial penalties resulting from the market regulators.
STARTUPS in Nigeria and other parts of Africa raised $ 466 million in the first quarter of 2024.
Interestingly , Nigerian startup, Moove, in the mobility sector, led the pack.
According to the Q1 2024 funding report released by the research firm, ‘ Africa: The Big Deal’, Moove alone accounted for 24 per cent of the total funds raised by African startups in the first three months of this year Within the period, Moove raised a total of $ 110 million, including a $ 100 million Series B round led by Uber.
The report indicated that the $ 466 million raised by African startups in Q1 was realised through 121 startups that secured $ 100,000+ deals. This, however, represented a 27 per cent decrease quarter on quarter, and was only half of the amount that was raised a year earlier in Q1 2023.
Further, the report noted that only one African start. up raised more than $ 25 million in Q1 2024 and that was Moove.
“Moove leads with $ 110 million announced this quarter in total: a $ 100 million Series B round led by Uber, and a $ 10 million debt deal to finance its India expansion. Moove alone attracted 24 per cent of the funding on the continent in Q1, therefore influencing other trends.
“87 per cent of the funding went to start- ups Hq’ed in the Big Four with 60 per cent going to Nigeria ( 2/ 3 of which were the Moove deals) and Kenya. Few other countries managed to claim more than $ 5m in funding during the period,” the report stated.
More analysis of the report showed that transport and logistics snatched the number one spot in terms of the total amount raised. Moove’s deals make nearly 3/ 4 of that amount, followed by fintech.