Further to the FTSE Equity Country Classification March 2026 Interim Announcement, which confirmed the reclassification of Nigeria from Unclassified to Frontier market status from September 2026, FTSE Russell has announced that the reclassification of Nigeria is under further review.
From 01 June 2026, the Nigerian equity market transitioned from a T+2 to T+1 settlement cycle. This could result in Nigeria becoming a de facto prefunded market for international institutional investors, according to FTSE.
“A requirement to prefund equity trades is deemed a negative for the ‘Settlement Cycle (DvP)’ criterion, which is one of the five core FTSE Quality of Markets criteria required for attaining Frontier market status within the FTSE Equity Country Classification scheme. Consequently, the reclassification of Nigeria is under further review to assess the implications of the transition to a T+1 settlement cycle for international institutional investors,” FTSE said.
FTSE Russell said it will provide an update on the status of Nigeria’s potential reclassification to Frontier market status by the end of August 2026.
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