How Does T+1 Settlement Work in Nigeria?
When shares are bought or sold on the Nigerian Exchange (NGX), the transaction is not finalised instantly. Settlement — the formal exchange of shares and payment — happens one business day after the trade. This standard is known as T+1. The Nigerian market moved from T+3 to T+2 on 28 November 2025 and from T+2 to T+1 on 1 June 2026, as published by CSCS and the SEC.
T+1 Settlement. T+1 settlement means that a share transaction on the Nigerian Exchange is finalised one business day after the trade date. "T" is the trade date and "+1" means one additional business day.
What happens on T (trade date)
On the trade date, your broker executes the buy or sell order on the NGX. The trade is matched between a buyer and seller. The price and quantity are agreed. However, the shares and money do not change hands immediately.
What happens on T+1 (settlement date)
One business day after the trade, settlement occurs: the buyer's payment is transferred to the seller, and the shares are moved from the seller's CSCS account to the buyer's CSCS account. Only at this point is the transaction complete.
Why does a settlement window exist?
The T+1 window gives all parties — buyers, sellers, and their brokers — time to confirm the trade details, arrange payments, and process the transfer through CSCS. Shorter cycles reduce the time that either side is exposed to the other before the trade is final, which is why markets have been moving from T+3 to T+2 and now to T+1.
How the settlement cycle has changed
Nigeria used a T+3 cycle for many years. As published by CSCS and the SEC, the market moved to T+2 on 28 November 2025 and to T+1 on 1 June 2026. Trades executed from that date settle one business day after the trade date.
What this means for Shares Saver investors
When Shares Saver instructs a broker to purchase shares on your behalf, the T+1 settlement cycle applies. Your shares will be reflected in your CSCS account approximately one business day after the purchase is executed. This is normal and expected.
Questions
About t+1 settlement
This article is for general information and educational purposes only. It does not constitute financial advice, investment advice, legal advice, or tax advice. The value of investments can fall as well as rise. Seek independent regulated financial advice before making any investment decision. Shares Saver does not provide financial advice.
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