The Nigerian Securities and Exchange Commission (SEC) is set to implement a new T+2 settlement cycle for equities transactions, effective Friday, November 28, 2025. This transition aims to align the country’s capital market with global best practices, enhancing market efficiency and liquidity.

Under the new system, trades executed on November 28, 2025, will settle on Tuesday, December 2, 2025. Transactions carried out before this date will continue to follow the existing T+3 schedule, which means trades executed on Thursday, November 27, will also settle on December 2. This overlap is a result of the transition, ensuring a seamless shift to the new system.

The SEC has been preparing for this transition for months, conducting stakeholder testing and ensuring operational and technical readiness. The central counterparty, CSCS Plc, has also dedicated significant resources to guarantee a smooth transition. Extensive testing with market participants has been successfully conducted, reflecting high confidence in the market’s preparedness for this change.

The migration to a T+2 settlement cycle is expected to have a positive impact on the Nigerian capital market. By allowing investors quicker access to funds, the new system will enhance overall market liquidity and reduce counterparty risk exposure. This, in turn, will foster a more stable and resilient market environment, ultimately benefiting investors and market participants.

The implementation of the T+2 settlement cycle is a significant step towards aligning the Nigerian capital market with international standards. The SEC’s efforts to enhance market efficiency and liquidity are expected to contribute to the growth and development of the country’s capital market. With the transition set to take effect on November 28, 2025, market participants can expect a more efficient and stable trading environment.