Nigeria Accelerates Capital Market Reforms to Boost Efficiency and Investor Confidence

Nigeria's Securities and Exchange Commission (SEC) is accelerating capital market modernization with ambitious reforms to enhance market efficiency and investor confidence. The recent shift to a T+2 settlement cycle from T+3 aligns Nigeria with global best practices, reducing counterparty risks and speeding up capital reinvestment.

Despite a strong capital raising activity, the market experienced a significant decline in November due to profit-taking and policy uncertainties. Dr. Emomotimi Agama, SEC's Director-General, highlighted positive developments, including an upgrade in Nigeria's sovereign credit rating and increased investor interest in infrastructure and commercial paper markets.