SEC fixes June 1 for T+1 settlement cycle transition

The Securities and Exchange Commission has officially announced that the Nigerian capital market will transition to a T+1 settlement cycle for equities and commodities, commencing on Monday, June 1, 2026. This move is part of the commission's ongoing market modernization initiatives designed to enhance trading efficiency, strengthen risk management, and align domestic practices with international standards. The implementation framework requires all capital market operators, including exchanges, clearing houses, and custodians, to ensure their systems are fully operational by the start date. The final trading day under the previous T+2 cycle will be Friday, May 29, 2026, with trades executed on that day and June 1 settling on Tuesday, June 2, 2026. This strategic shift follows the footsteps of the United States, Canada, and Mexico, which have already adopted T+1. While retail investors will benefit from quicker access to cash proceeds, institutional players must reconfigure their back-office infrastructure to prevent settlement hitches. Analysts view this rapid transition as a proactive step to bridge infrastructure gaps and attract foreign portfolio inflows.

(Source：Punch)