Market News

By Temitope Aina

The Central Securities Clearing System Plc and the Nigerian Exchange Limited announced on Wednesday that the nation’s capital market will move to a two-day securities settlement cycle, effective November 28, 2025.

The initiative aims to enhance market efficiency, reduce counterparty risk, and align Nigeria’s capital market with international best practices.

Speaking at a stakeholder webinar themed ‘Advancing Market Efficiency through Two-Day Settlement’, Executive Commissioner (Operations) at the Securities and Exchange Commission, Bola Ajomale, said, “The Commission plans to move to a T+1 cycle next year and ultimately target same-day settlement. We urge all market participants to prepare for this shift and adequately engage their clients. This initiative is a critical component of our broader reforms aimed at enhancing global competitiveness.”

The Executive Director representing the Managing Director/CEO of CSCS, Adeyinka Shonekan, highlighted the groundwork carried out to ensure a smooth transition.

“We have established a stakeholder-driven committee to perform gap analysis and benchmark CSCS processes against global standards. Our priority is to ensure a seamless experience for all market operators,” Shonekan said.

Also, the Managing Director/CEO of NGX, Jude Chiemeka, reassured market participants of the Exchange’s readiness.

“NGX has undertaken market-wide simulation exercises, proactive communication strategies, and set up dedicated support systems to facilitate the changeover. We are fully prepared for the November 28 implementation,” he stated.

Other market operators, including the Lagos Commodities and Futures Exchange and NASD Plc, confirmed their preparedness through system testing, capacity building, and enhanced stakeholder education.

Additionally, the Divisional Head of CSCS Depository, Onome Komolafe, added, “We have upgraded our infrastructure, reviewed operational processes, and established a robust risk management and compliance framework to support the new settlement system.”

The shift to a two-day settlement cycle is expected to significantly modernise Nigeria’s capital market infrastructure, reduce operational inefficiencies, and strengthen investor confidence.