Nigeria Adopts T+2 Settlement Cycle to Boost Market Efficiency

Nigeria has implemented a T+2 settlement cycle in its capital market, marking a significant milestone in modernizing the country's post-trade infrastructure. This transition, effective from November 28, aims to reduce operational risks, increase market liquidity, and improve the overall investor experience.

The shorter settlement window is expected to make Nigeria more competitive globally and attract foreign portfolio investors. Key stakeholders such as the Central Securities Clearing System Plc (CSC), Securities and Exchange Commission (SEC), and market operators have collaborated to ensure a smooth implementation.

This reform allows trades to settle within two business days, enhancing market efficiency and competitiveness.