NGX sheds N4.9trn in first week of next-day settlement rollout
The Sun Nigeria
NGX lost roughly N4.9 trillion in market cap during the first week of Nigeria's T+1 settlement rollout, despite a surge in trading.Summary
The Nigerian Exchange Limited (NGX) implemented a T+1 settlement cycle, becoming Africa’s first market to do so, and in the inaugural week investors saw market capitalisation drop by about N4.9 trillion (roughly 3.06%) as the All-Share Index fell 3.11% to 242,593.31 points; however, trading activity surged, with volume up 65.4%, transaction value up 57.6% and deals up 42.4%, driven largely by profit‑taking, portfolio rebalancing and anticipation of the Dangote Refinery IPO, while analysts stressed that the decline was not caused by the new settlement regime and highlighted improved liquidity and efficiency as early signs of success.
(Source：The Sun Nigeria)