Nigeria’s Strategic Leap: The Legal and Operational Imperatives of the T+2 Settlement Cycle
Introduction According to the International Organisation of Securities Commissions (IOSCO), securities settlement systems are a critical component of the infrastructure of global financial markets. In recent years, trading and settlement volumes have soared, as securities markets have become an increasingly important channel for intermediating flow of funds between borrowers and lenders and as investors have […]
Navigating the New Frontier: Risk, Oversight, and Cooperation Under Nigeria’s Investments and Securities Act 2025
Introduction Nigeria’s capital market has arrived at a new regulatory era defined by intelligence-driven supervision, systemic risk awareness, and deeper collaboration between the Securities and Exchange Commission (SEC) and the entities it oversees. The Investments and Securities Act 2025 (ISA 2025) has reshaped the investments and securities governance framework by making risk avoidance central to […]
Tightening The Noose: Stricter Compliance Requirements Under the ISA 2025
Introduction The enactment of the Investment and Securities Act (ISA), 2025 marks a significant shift in Nigeria’s capital market regulatory framework. While a substantial proportion of its provisions were retained from the ISA 2007, the 2025 Act introduces stricter compliance thresholds, heavier sanctions, and expanded supervisory functions for the Securities and Exchange Commission (SEC). The […]
Beyond the Grey: How Nigeria’s FATF Delisting Redefines Capital Market Integrity and Fuels the Fight for Naira Stability
Introduction The official removal of Nigeria from the Financial Action Task Force (FATF) grey list in October 2025 followed major legislative and operational reforms, notably the Money Laundering (Prevention and Prohibition) Act, 2022 (MLPA), and the Terrorism (Prevention and Prohibition) Act, 2022 (TPPA); as well as the activation of the Beneficial Ownership Register (BoR)¹. This […]
Investment and Securities Act, 2025: Addressing Some Gaps Around Virtual Assets and Digital Assets
Introduction The Investments and Securities Act, 2025 (ISA 2025/ ‘Act’) is not just a legislative upgrade, it is a re-engineering of Nigeria’s capital market framework to align it with the current local and global market practices, trends, and demands. One of the significant provisions of the Act is its expansion of instruments considered as ‘securities’ […]
Securely Navigating Online Securities Trading Platforms: Retail Traders’ Protection
Introduction To the uninformed, the stock market and its operations have always been shrouded in mystery; giving the aura of an enclosed world for the wealthy elite, remote from the participation of an average person. But things are rapidly changing. Online securities trading platforms are democratizing access to the stock market, making it possible for […]
Enhancing Nigeria’s FX Market: Key Insights on the new EFEMS and FX Codes
On October 2, 2024, the Central Bank of Nigeria (CBN) introduced two key regulatoryframeworks to improve the functioning of the Nigerian Foreign Exchange Market (NFEM):the Electronic Foreign Exchange Matching System (EFEMS) and the NigerianForeign Exchange Code (FX Code). While EFEMS is a technological platform aimed atimproving market transparency and efficiency, the FX Code serves as […]
Review of CBN operational changes on the foreign exchange market
In a bid to address the extant economic gaps that exist in the Nigerian Foreign Exchange
Market (the “FX Market”), the Central Bank of Nigeria (“CBN”) released a circular
dated June 14, 2023 titled “Operational Changes to the Foreign Exchange Market” (the
“Circular”). This Circular introduces notable changes to the country’s FX Market and its
operations. The purpose of this paper is to highlight the changes and impact of the
introduced changes on the foreign exchange market as well as its interplay with the
Nigerian economy.
Enhancing dollar liquidity in Nigeria through securitization: prospect and risks
Dollar liquidity in Nigeria has been a huge economic challenge in the country in recent times. As a major step to enhance dollar liquidity in the country, the Federal Government of Nigeria (FGN) announced its plan to securitize its expected dividends for a period of 5 years in Nigeria Liquefied Natural Gas Limited (NLNG) in favor of its lenders, to raise $7 billion.
This step holds significant opportunities for the country’s economy, but it also comes with inherent risks that need to be carefully evaluated. These opportunities and the possible risks are addressed in this article.