Central Securities Clearing System Plc (CSCS) has announced sweeping reductions and outright removal of selected fees, in a move aimed at lowering the cost of investing and easing transaction barriers across Nigeria’s capital market.
Under the revised pricing framework announced on Tuesday, CSCS cut lien fees for retail investors by 50 percent, from 0.25 percent to 0.125 percent, while nominal transfer fees for qualifying transfers between immediate family members have been completely scrapped.
The market infrastructure operator also removed broker code creation and renewal fees as well as eligibility fees payable by brokers across the exchanges serviced by CSCS.
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The fee review comes as the Nigerian capital market seeks to deepen retail participation, improve liquidity and make market access more affordable for investors and intermediaries.
Commenting on the development, the Managing Director/Chief Executive Officer of CSCS, Shehu Yahaya Shantali, said the company was responding to the evolving needs of investors and market participants by reducing areas of friction in the investment process.
“As Nigeria’s capital market continues to grow and evolve, we believe its infrastructure must continually respond to the needs of investors and market participants,” Shantali said.
According to him, the review is designed to improve accessibility and support greater participation while maintaining the security, resilience and efficiency of the infrastructure underpinning the market.
He added that CSCS would continue to invest in technology and capabilities while working with stakeholders to ensure that the post-trade infrastructure remains responsive to market needs.
The reductions are expected to particularly…
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Read Full Article by Kehinde Akinseinde-Jayeoba at tribuneonlineng.com
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