Stockbrokers have welcomed the extension of trading hours on the Nigerian Exchange Ltd. (NGX), calling it a key move to deepen the capital market and align it with global standards.
Market operators, speaking to reporters on Tuesday, said the change would enhance efficiency, improve liquidity, and reduce volatility.
NGX has extended its trading hours from 9:30 a.m.–2:30 p.m. to 9:00 a.m.–4:00 p.m., effective April 27.
Mr. Aruna Kebira, Managing Director of Globalview Capital Ltd., described the new seven-hour trading window as a significant structural shift. He said the initiative supports the exchange’s modernisation, particularly after Nigeria’s reclassification to Frontier Market status by FTSE Russell.
“Longer hours allow the market more time to absorb macroeconomic data, corporate disclosures, and global financial developments, improving price discovery,” Kebira said. He added that the extended hours would likely increase daily trading volumes and create better overlap with international markets, facilitating real-time management for foreign investors.
Mr. Sola Oni, CEO of Sofunix Investment and Communications, noted that the extension would enable faster market responses to new information, reinforcing NGX as an information-driven system. He also highlighted that, alongside the Central Securities Clearing System’s T+1 settlement plan, this move strengthens market operations, though it could raise operational costs and risk trading fatigue.
Dr. Benneth Eze, Head of Research at the Chartered Institute of Stockbrokers, said brokers would need to adjust staffing, technology, and processes, but the long-term gains—higher trading volumes, increased investor confidence, and a more resilient market—would outweigh short-term costs.
Mr. Bosun Babatunde, Senior Stockbroker at Forth Financial Ltd., acknowledged potential initial challenges but expressed confidence that the benefits—broader participation, improved liquidity, and enhanced capital formation—would prevail.
Meanwhile, Mr. David Adonri, Vice President of Highcap Securities, called the extension a proactive step to prepare NGX for future growth, including accommodating large listings such as Dangote Refinery and Flutterwave. He said increased trading activity would boost liquidity and overall market performance.
