CSCS slashes lien fees by 50% to encourage retail investor borrowing

Central Securities Clearing System Plc (CSCS) has revised pricing across selected services as part of ongoing efforts to reduce transaction friction, encourage greater retail investor participation and support innovation and liquidity across the Nigerian capital market.

Under the revised pricing framework: lien fees for retail investors have been reduced by 50 percent, from 0.25 percent to 0.125 percent. CSCS offers lien services which allow investors to use their securities, such as shares and assets in the CSCS Plc Depository, as collateral for loans.

Also, nominal transfer fees for qualifying transfers between immediate family members have been reduced from 0.3 percent to zero; while broker code creation and renewal fees have been removed; and eligibility fees payable by brokers across the exchanges serviced by CSCS have been removed.

The revised framework introduces targeted reductions and the removal of selected charges for investors and market intermediaries, reflecting CSCS’s commitment to improving market accessibility and supporting a more efficient and inclusive capital market ecosystem.

The changes are designed to lower the cost of participation for investors and market operators, while creating a more supportive environment for brokers, FinTechs and other participants developing solutions that broaden access to Nigeria’s capital market.

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Shehu Yahaya Shantali, managing director/chief executive officer of CSCS Plc said:

“As Nigeria’s capital market continues to grow and evolve, we believe its infrastructure must continually respond to the needs of investors and market…