Capital market adopts T+1 settlement framework June 1

The Nigerian capital market is set to transition to a T+1 settlement cycle effective Monday, June 1. The Director-General of Central Securities Clearing System Plc (CSCS), Shehu Shantali, said this in a statement on Wednesday in Lagos.

Mr Shantali said the transition marked another milestone in the continued modernisation of Nigeria’s post-trade infrastructure and market operations.

He said the transition had been approved by the Securities and Exchange Commission (SEC) and was coordinated by CSCS alongside key capital market stakeholders.

According to him, the initiative reflects the market’s collective commitment to strengthening efficiency, reducing settlement risk, enhancing liquidity and aligning with global best practices.

He explained that under the T+1 settlement framework, trades executed in the capital market would settle one business day after the trade date.
He said this enables faster movement of securities and funds across the market ecosystem.

Mr Shantali noted that ahead of the go-live date, extensive stakeholder engagements, readiness assessments and awareness initiatives had been conducted to support a seamless transition.

“As part of the awareness and readiness assessment leading to the transition, CSCS hosted industry engagement webinars with exchanges and trade associations to reinforce stakeholder alignment, operational preparedness and market-wide coordination ahead of go-live.

“Market participants across the capital market ecosystem have also undertaken system upgrades, operational testing and internal readiness activities ahead of the transition,” he said.

According to him, the transition represents another important milestone in the evolution of Nigeria’s capital market infrastructure.

“It reflects the market’s readiness to embrace reforms that enhance efficiency, strengthen investor confidence, improve liquidity and align Nigeria more closely with leading global markets,” he said.

Mr Shantali said the successful implementation of the T+1 settlement cycle was the result of extensive collaboration across the capital market ecosystem.

“We appreciate the commitment demonstrated by our regulator, SEC, exchanges, trade associations, market operators and the T+1 implementation planning committee,” he said.

Mr Shantali noted that to commemorate the official transition, CSCS, in collaboration with Nigerian Exchange Group (NGX), would host a special closing gong ceremony on Monday, June 1, at NGX House in Lagos.

“The event will bring together regulators, market operators, trade associations and key stakeholders across the capital market ecosystem to formally mark the commencement of the T+1 settlement cycle in Nigeria,” he said.

Mr Shantali reaffirmed the commitment of CSCS to driving innovation, operational resilience and stakeholder collaboration as the capital market advances toward a more efficient, transparent and globally competitive future. NAN