Lagos, Nigeria
Temi Popoola, Chairman of the Central Securities Clearing System (CSCS) PLC., has affirmed that the organisation has invested heavily to ensure operational and technical readiness for the shift to the T+2 settlement cycle, as stakeholders continue to express strong confidence in the market’s preparedness for this landmark transition.
Speaking during a webinar held yesterday, themed “Trade Associations: Ensuring Stakeholders’ Readiness for T+2 Settlement System”, Popoola stated:
“Our systems have undergone extensive stress testing under high transaction volumes and extreme conditions. We are confident in our capacity to fully support T+2, underpinned by robust redundancy and fallback mechanisms.”, explained Popoola
While he did not reveal the exact amount invested in the T+2 initiative, he described it as a significant milestone in advancing Nigeria’s global market competitiveness, boosting operational efficiency, and enhancing investor confidence. He emphasised that the initiative underscores the shared commitment of regulators and market participants to deepen the capital market and reinforce its infrastructure.
“As the central counterparty, CSCS remains committed to promoting market stability, efficiency, and transparency. We are working closely with the SEC and trade associations to ensure a smooth, coordinated, and beneficial transition for all stakeholders,” Popoola noted.
He further stated that, through collaboration and determination, Nigeria’s capital market is poised to achieve a seamless migration to T+2, setting a benchmark for post-trade excellence across Africa. According to him, the shortened settlement cycle will improve turnaround time, minimise counterparty risk, and enhance investor confidence.
However, he stressed that this transition requires alignment across the entire market value chain, including banks, custodians, registrars, fund managers, and back-office systems to support process changes, liquidity planning, and counterparty preparedness.
He encouraged trade associations to bridge the gap between policy and practical implementation by ensuring their members fully understand the operational impact of the T+2 model.
In his remarks, Director General of the Securities and Exchange Commission (SEC), Dr. Emomotimi Agama, reaffirmed that the T+2 transition aligns with the Commission’s 2015–2025 Capital Market Plan. He declared that the “Go Live Date” of November 28 remains unchanged.
“T+2 marks the emergence of a smarter, more dynamic, and competitive market,” said Dr. Agama. He expressed appreciation to CSCS, NGX Group, the trade associations, and the T+2 Project Implementation Committee for their efforts, assuring that the SEC remains committed to fostering a resilient and investor-focused capital market.”, said Agama.
He further noted that the T+2 model lays the foundation for a future T+1 cycle and is a major leap forward in building a market that is efficient, globally aligned, and future ready. The SEC, he said, will continue to provide regulatory oversight and support throughout the process.
In his welcome address, CSCS Managing Director/CEO, Haruna Jalo-Waziri, recounted that the journey to T+2 began 26 years ago with the establishment of CSCS to address settlement risks in the Nigerian capital market. He emphasized the need for Nigeria to align with global standards by adopting shorter settlement cycles to reduce delays, mitigate counterparty risks, and enhance liquidity efficiency.
Jalo-Waziri expressed gratitude to the SEC for its openness to innovation and support for the initiative, and to the NGX Group and trade associations for their collaboration in the implementation process.
In her presentation, Onome Komolafe, Divisional Head, CSCS Depository; Chairperson of the Settlement Cycle Review Committee (SCRC); and Divisional Head, Business Services & Client Experience, CSCS Plc, confirmed that the T+2 project is now at the implementation stage. She disclosed that 19 end-to-end test scenarios had been successfully executed, all yielding perfect results.
Babatunde Majiyagbe, President of the Association of Asset Custodians of Nigeria (AACN), affirmed that his members are fully prepared for the November 28 launch.
“We have conducted extensive testing with firms and encountered no issues. We are proud of this achievement and remain fully committed. We look forward to celebrating the successful transition in the coming weeks,” Majiyagbe assured.
Similarly, Sam Onukwue, Chairman of the Association of Securities Dealing Houses of Nigeria (ASHON), described T+2 as a progressive step in modernising the capital market and an opportunity for firms to upgrade their systems. He expressed confidence in a smooth transition due to effective coordination among stakeholders.
Oluseyi Owoturo, Chairman of Council of the Nigerian Institute of Capital Market Registrars (ICMR), confirmed that operational processes have been reviewed and back-office systems are being updated by members in preparation for a successful rollout.
