Investors Transact N10.68tn Stocks in Seven Months on Improving Macro-economic Conditions
Kayode Tokede On the back of stronger domestic participation, improving macroeconomic conditions and rising investor confidence, the Nigerian equities market sustained its positive run in the seven months of 2026,
In the seven months of 2026, Nigerian investors executed a staggering N10.68 trillion worth of stock transactions, marking a remarkable 126.01 per cent year-on-year increase from the N4.73 trillion traded in the same period last year. This surge in domestic participation has helped propel Nigeria to among the world's strongest-performing equity markets in dollar terms.
The Nigeria Exchange Limited (NGX) report reveals that domestic institutional investors led the charge, with N6.71 trillion transacted, reflecting a massive 145.02 per cent increase compared to N2.74 trillion in 2025. Retail domestic investors also contributed significantly, selling N3.97 trillion worth of shares, up by 99.8 per cent from N1.99 trillion in 2025.
The Nigerian stock market has been buoyed by a combination of factors, including improved macroeconomic conditions and heightened investor confidence. The National Pension Commission's (PenCom) decision to raise equity limits for pension funds in February 2026 played a key role, injecting fresh liquidity into the market. This policy adjustment has resulted in significant gains, with market capitalisation growing by N58.97 trillion in the seven months of 2026.
As of July 31, 2026, the market capitalisation of listed stocks closed at N158.326 trillion, a substantial increase of N58.9 trillion or 59.32 per cent from N99.376 trillion in 2025.
Notably, Airtel Africa Plc and seven other blue-chip stocks accounted for 63.98 per cent or N101.29 trillion of the Nigerian stock market, contributing to the impressive performance. This strong run in 2026 stands out as one of the strongest in recent years, driven largely by price appreciation in banking, consumer goods, industrial, and oil & gas sectors.
However, with the total transactions by both domestic and foreign investors standing at N11.98 trillion, there is a need for investors to assess whether this rally represents a sustainable structural recovery or a temporary market re-rating.
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