Karachi: The Pakistan Stock Exchange (PSX), working alongside the National Clearing Company of Pakistan Limited (NCCPL) and the Central Depository Company of Pakistan Limited (CDCPL), will conduct an integrated Grand Mock Session from January 9 to January 13, 2026. The exercise aims to prepare market participants for the upcoming T+1 settlement cycle, a key initiative designed to shorten the timeframe for equity transaction settlements.
The mock session, as outlined in NCCPL Circular No. NCCPL/CM/DECEMBER-25/14 dated December 18, 2025, will allow market participants to test and evaluate system enhancements introduced to support the T+1 framework. This preparatory exercise ensures that operational, technical, and connectivity aspects are functioning efficiently ahead of the official implementation.
During the five-day exercise, testing systems will be accessible daily from 10:30 AM to 7:00 PM, providing participants ample time to carry out their operational checks. Market participants are urged to simulate all standard operational procedures currently performed in the live trading environment to identify and resolve any potential issues.
NCCPL emphasized the importance of active participation, advising all brokers, custodians, and other stakeholders to ensure seamless system connectivity throughout the mock session. This proactive approach is intended to minimize risks, prevent disruptions, and ensure a smooth transition to the T+1 settlement cycle once fully implemented.
The T+1 settlement cycle represents a significant shift in Pakistan’s equity market infrastructure, reducing the settlement period from two days (T+2) to one day (T+1). This move aligns Pakistan with global best practices, improves liquidity, enhances risk management, and supports the efficiency of capital market operations.
Officials from PSX and NCCPL highlighted that the mock session provides a platform for participants to familiarize themselves with the operational changes and test new functionalities introduced in clearing and settlement systems. Feedback gathered during this exercise will help refine processes and ensure full readiness for the T+1 cycle launch.
The exercise is expected to strengthen overall market resilience and instill confidence among investors, brokers, and custodians. By addressing potential challenges beforehand, the PSX and its partner institutions aim to achieve a seamless and reliable settlement experience for all market participants, ultimately contributing to improved market efficiency and investor confidence.
Market analysts anticipate that the successful implementation of T+1 settlements could also attract greater investor participation and enhance Pakistan’s position in regional equity markets by demonstrating a modernized, efficient, and globally aligned trading ecosystem.
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