The Central Securities Clearing System popularly called CSCS was established in 1992 to function as a clearing, deposit and settle facility for the Nigerian Capital Market. The CSCS was designed to be a digital facility for the sole purpose of handling, delivery and settlement of securities in the capital market. Part of the CSCS’s duty is to oversee end-to-end delivery of securities transfer between seller and buyer.

The organization operates an electronic book entry system for its customers via a filled form, this has greatly reduced the time it used to take to carry out end-to-end transactions. Since its inception in 1992 the organization has made laudable advancements in the securities and commodities sector as the CSCS has provided an enhanced swift and transparent atmosphere for the financial sector.


The CSCS Was Set Up To Carry Out The Following Basic Functions:

Sub-registry for all quoted securities especially in conjunction with registrars of quoted companies on the financial market.

A well documented Central depository and registry for share certificates of companies quoted on The Nigerian Stock Exchange.

The Central Securities Clearing System also acts as an accredited issuer of central securities identification numbers to shareholders; and Custodians in conjunction with custodian member(s) for local and foreign commodities and security instruments.


Prior Process To The Advent Of CSCS

  • Cancellation and frequent issuance and re-issuance of certificates when sales occur.
  • In most cases, it took approximately between 3 months – 12 months to receive share certificates
  • Constant signature verification
  • Capital gains not exploited some Dealing members sold what they did not have.
  • Various numerous complaints on failed transactions.
  • Incessant loss of certificates.


Risk was very high, stress filled delay, end-to-end transactions were manually operated, manipulations due to long transaction cycle, minimal transparency, many customers over the years actually generally lacked trust in the system.


These problems were worldwide and needed solution, hence the need for a depository organizational system arose which gave birth to the Central Securities Clearing System.


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  • The Central Securities Clearing System was designed to carry out the following functions effectively:
  • Reduces the incidence of loss or stolen certificates.
  • Reduce late delivery of certificates.
  • Reduces investment risk and creates opportunity for market expansion.
  • Reduces cost of maintaining register of shareholders as the system works electronically.
  • Increase liquidity of stock market commodities.
  • Increases transparency of the securities and exchange market.
  • Raises investors’ confidence in the commodities and exchange market.
  • Increase of market turnover over very short period
  • Encourages and promotes foreign investment as investors can vouch for the stability of the system.
  • Increases liquidity and pronto vibrancy of the market Stockbroking firms.
  • Prompt end-to-end broker money and stock settlement and claims.
  • Increase speed, efficiency and profitability of stockbroking.
  • Reduces operating costs as the system runs on full fledge electronic platform.


Address And Contact Information Of CSCS Nigeria

The Managing Director
Central Securities Clearing System Plc
1st Floor ,Stock Exchange House
2/4 Customs Street, Lagos
Lagos, Nigeria



Corporate Office 

Phone: +234 1 903 3551, +234 1 460 1900


Customer Care

Phone: +234 1 903 3552, +234 1 903 3553, +234 1 460 1902, +234 1 460 1903


Abuja Office

2, Misratah Street, Off Parakou Street

Wuse 2, Abuja

Phone: +234 9 290 9043, +234 9 290 8750



Worthy of note is the fact that the CSCS has in an organized fashion issued over 4.2 million clearing house numbers to its teeming stakeholders, this automatically gives them rights to sell and buy shares on the floor of the Nigerian Stock Exchange which runs on the CSCS platform. The CSCS has a working agreement with over 22 settlement banks for the settlement and delivery of transaction and trading on the Nigerian Stock Market.


1 Comment

  1. Please I want to know how to monitor/sell my share. Thanks

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