The CSCS Managing Director/CEO, Haruna Jalo-Waziri, has described the transition from a T+3 to a T+2 settlement cycle as a signal to local and international investors that Nigeria is ready to compete effectively in the global market.

The transition, which is a product of months of collaboration across the capital market ecosystem, aims at shortening the time it takes for equity trades to settle from three days to two, reflecting months of collaboration among regulators, brokers, custodians, and settlement banks.

At a press conference held at the Nigerian Exchange Limited (NGX) in Lagos, where senior executives outlined the scale of work undertaken to modernise the clearing and settlement framework, Jalo-Waziri said the successful transition reflects a unified signal from the Nigerian market to the global financial community that it is prepared to compete at a higher level.

The new T+2 settlement cycle officially went live yesterday, setting the stage for the first batch of equity trades to be completed under the shortened timeline next Tuesday.

He explained that a move to T+2 cannot be driven by a single institution, but only becomes possible when every stakeholder: brokers, custodians, settlement banks, exchanges and regulators agrees that the system is strong enough to support faster, cleaner and safer transactions.

He explained that the work behind the scenes was intense, deliberate, and technical, adding that the reform sends a strong confidence signal to investors who prioritise speed and reliability.

According to him, CSCS had been strengthening its capacity over time, ensuring that the eventual migration would be efficient, stable, and cost-effective.

He emphasised that the transition aligns with global best practices and reflects the market’s readiness for faster, more reliable settlement processes.

Jalo-Waziri described the implementation as a major milestone for the Nigerian capital market, reducing settlement risks and improving operational efficiency for brokers, investors, and other market participants.

He pointed out that the organisation is confident about the transition path and remains focused on ensuring that Nigeria keeps pace with global settlement standards.

In explaining the technological backbone of the upgrade, Jalo-Waziri highlighted that CSCS deployed its proprietary core software warehouses developed by Tartar, described as the world’s largest provider of post-trade solutions.

He noted that the main software environment, servers, and security architecture are fully operational, providing the resilience and scalability required for a seamless shift to shorter settlement cycles.

He added that the strengthened infrastructure will not only support faster settlement but also enhance market stability, investor confidence, and the overall competitiveness of the Nigerian capital market as it continues to integrate with global financial systems.

CSCS Plc Chairman, Temi Popoola, described the transition as a strategic move designed to strengthen investor confidence, enhance market liquidity, and align Nigeria more firmly with the standards that define world-class financial systems.

According to him, the shift to a shorter settlement cycle underscores the country’s commitment to building a market rooted in efficiency, transparency, and global competitiveness.

Popoola noted that the adoption of T+2 expands the boundaries of what the market can achieve, reinforcing the groundwork for future technological and structural innovations.

The Director-General of the Securities and Exchange Commission (SEC), Dr Emomotimi Agama, described the successful transition as a strong signal that Nigeria is committed to building a credible, resilient market ecosystem capable of attracting substantial investment.

Represented by the Commissioner of Operations, Mr Bola Ajomale, he commended the industry committee and market operators for their dedication, coordination, and technical expertise in delivering a milestone that aligns Nigeria with global settlement standards.

He urged all market participants to remain vigilant as the new cycle goes live, emphasising the need for continuous monitoring, strict adherence to operational guidelines, and collective responsibility to ensure the stability and integrity of the market during and after the transition.