The Central Bank of Nigeria (CBN) has announced plans to take control of the country’s fixed income market in November 2025. Under the new system, the bank will manage both settlement and trading activities. This marks a major change in Nigeria’s financial sector.
According to the CBN, the reform is designed to improve transparency and efficiency in the fixed income market. By consolidating operations, the bank aims to strengthen oversight and reduce duplication. Officials also believe the change will improve monetary policy transmission and enhance long-term stability.
Reactions to the decision remain mixed. Supporters argue that the reform could increase investor confidence and reduce fragmentation. However, critics warn that giving the CBN too much control may stifle innovation and limit opportunities for smaller players. Analysts also note that FMDQ, which previously managed much of the system, played a key role in reducing settlement failures.
The transition will take place in phases. First, the CBN will conduct system testing and a pilot run. The official switch for settlement operations is scheduled for 3 November 2025, while the full migration of the trading platform will follow on 1 December 2025.
Meanwhile, activity in Nigeria’s fixed income market remains strong. Treasury bill yields eased slightly across different maturities. The NTB maturing October 9, 2025, closed at 16.37 percent, while longer-dated bills also recorded small declines.
As Nigeria prepares for this reform, the CBN faces the challenge of balancing tighter oversight with continued growth. The outcome will likely define the role of the fixed income market in shaping the country’s economic future.
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