T+1 settlement on PSX: what it means
When you buy a share on the Pakistan Stock Exchange, the trade happens in a moment, but the shares and the money change hands later. Since 9 February 2026 that takes one business day: T+1.
Short answer
Since 9 February 2026, trades on the Pakistan Stock Exchange settle T+1: one business day after the trade day. Buy on a Monday and the shares reach your account on Tuesday. Before that date, PSX settled T+2.
What settlement means
A trade on PSX is agreed in a moment, but two things still have to happen: the buyer pays, and the seller's shares move to the buyer. That exchange is called settlement. It runs through two bodies:
- NCCPL, the National Clearing Company of Pakistan, which works out what each broker owes and is owed, and settles it.
- CDC, the Central Depository Company, which holds shares electronically and moves them between accounts.
The letter T stands for the trade day. T+1 means settlement on the next business day. Weekends and public holidays do not count.
| You trade on | Settles under T+1 | Settled under T+2 |
|---|---|---|
| Monday | Tuesday | Wednesday |
| Wednesday | Thursday | Friday |
| Thursday | Friday | Monday |
| Friday | Monday | Tuesday |
Assumes no public holiday in between. A holiday pushes settlement to the next business day.
An example: you buy 500 shares on a Thursday. The trade settles on Friday, and that is the day the shares reach your CDC account. Sell them on a Friday, and the sale settles on Monday.
What changed on 9 February 2026
The SECP, the market's regulator, announced the move at PSX in July 2025, and it took effect on 9 February 2026. The SECP said the shorter cycle would cut credit and liquidity risk and make the market more efficient, and it placed Pakistan among the early adopters of T+1 worldwide. The idea is simple: with less time between a trade and its settlement, less can go wrong in between, and money and shares are freed a day sooner.
What T+1 means for you
- Selling: the money from a sale settles a day sooner than it used to. When your broker pays it out is up to your broker.
- Buying: the shares reach your CDC account one business day after you buy.
- Dividends and bonus shares: what counts is whether your shares have settled before the company's book closure, not the day you bought them. With T+1, the last day to buy for an entitlement moved one trading day closer to book closure. Our guide to book closure and the ex-dividend date works through the dates.
Quick answers
What does T+1 settlement mean?
T is the trade day. T+1 means the trade settles one business day later: the buyer's money and the seller's shares change hands then.
When did PSX move to T+1?
On 9 February 2026. Before that, trades settled T+2.
Does T+1 count Saturday?
No. Only business days count, so a Friday trade settles on Monday.
Can I sell shares I bought today?
That depends on your broker's rules and the market's rules for same-day trading, so ask your broker. Settlement only decides when the shares and the money actually change hands.