CSCS Leads Nigeria's Capital Market to T+1 Settlement Cycle

The Central Securities Clearing Systems Plc (CSCS) is spearheading the transition to a T+1 settlement cycle in Nigeria's capital market, scheduled to begin on June 1, 2026. This follows the implementation of a T+2 settlement cycle on November 28, 2025.

The T+1 cycle reduces the standard settlement period from two business days to one, with eligible trades settling at 5:00 p.m. on T+1, adhering to the Delivery-versus-Payment principle. The regulatory framework allows foreign portfolio investors to avoid prefunding their accounts, provided their operators ensure funding and settlement obligations are met.

This transition is expected to enhance investor confidence and market activities, positioning Nigeria's capital market ahead of many global counterparts. CSCS collaborated with the Securities and Exchange Commission, exchanges, trade associations, custodians, settlement banks, and broker-dealers to develop and implement a market-wide transition plan, which included stakeholder consultations, operational-readiness assessments, and investor education.