Nigeria's stock exchange has shed roughly N8.24 trillion in just three weeks. This sharp decline started when the market switched to T+1 settlement on June 1.
Investors rushed to lock in profits as technical corrections swept through trading floors. Market value plummeted from N160.51 trillion on May 31 to N152.27 trillion by June 18.
Before the settlement change took effect, equities had enjoyed a remarkable winning streak. Strong company earnings and banking recapitalisation plans fuelled the rally higher.
Heavy buying activity ahead of June 1 had pushed valuations to record levels. Traders had positioned aggressively in anticipation of the new settlement framework.
Once T+1 arrived, market participants began unwinding their positions systematically. The correction was long overdue, analysts said, after weeks of consecutive gains.
