Nigeria’s SEC Implements T+2 Settlement Cycle to Boost Capital Market Efficiency

The Securities and Exchange Commission (SEC) has announced that Nigeria’s capital market will transition to a T+2 settlement cycle for equities transactions starting Friday, November 28, 2025. The move marks a significant step toward aligning the country’s stock market operations with global best practices while improving efficiency and investor confidence.

Under the new system, trades executed on Friday, November 28, will settle two business days later, on Tuesday, December 2, 2025. Transactions executed before this date will follow the existing T+3 schedule, meaning trades on Thursday, November 27, will also settle on December 2, coinciding with the first batch of T+2 settlements.

According to the SEC, this transition will allow investors quicker access to funds, increase market liquidity, and reduce counterparty risk, contributing to a more stable and resilient market. The commission emphasized that the change is part of broader efforts to modernize the Nigerian capital market and make it more attractive to both local and international investors.

The Central Securities Clearing System (CSCS) Plc, serving as the central counterparty, has invested significant resources to ensure operational and technical readiness. The SEC confirmed that extensive testing with market participants was successfully completed, highlighting strong market preparedness for this landmark shift.

In a statement, the SEC reaffirmed its commitment to building a modern, transparent, and efficient capital market. The commission also pledged continued engagement with stakeholders to drive further reforms that strengthen Nigeria’s position as a competitive investment destination.

source: vanguard