Kayode Tokede 

Transactions by investors on the Nigerian Exchange (NGX) more than doubled in the nine months of 2025, reaching N8.54 trillion, a 115.2 per cent Year-on-Year (YoY) increase from N3.97 trillion recorded in the same period of 2024.

According to NGX’s latest Domestic & Foreign Portfolio Participation in Equity Trading report, the surge marks a record high for total market activity, buoyed by stronger participation from Pension Fund Administrators (PFAs) and high-net-worth domestic investors.

Foreign portfolio investors (FPIs) accounted for N1.84 trillion of total trades, a 164per cent year-on-year rise from N696.9 billion a year earlier, while domestic investors contributed N6.7 trillion, up 104.7per cent from N3.27 trillion in 2024.

Foreign investors represented 21.6 per cent of total market activity during the period, up from 17.6 per cent a year earlier. Domestic investors, while still dominant, saw their share ease slightly to 78.4per cent from 82.4per cent

Within the domestic segment, institutional investors led activity with N4.09 trillion, compared with N2.6 trillion from retail participants. Foreign transactions were strong on both the buy and sell sides. Inflows climbed 231% year-on-year to N1.03 trillion, while outflows rose 110per cent to N810.4 billion.

Over an 18-year horizon, NGX data shows domestic transactions have grown by 33per cent from N3.56 trillion in 2007 to N4.73 trillion in 2024, while foreign transactions rose 38% from N616 billion to N852 billion.

Vice Chairman Of The Board at Highcap Securities Limited, David Adonri stated that the rebound in foreign participation reflects renewed confidence following reforms in Nigeria’s foreign exchange regime by the Central Bank of Nigeria (CBN). The changes, aimed at improving transparency and stability in currency markets, have been credited with enhancing liquidity and reducing uncertainty for foreign investors.

“The surge underscores growing optimism about Nigeria’s reform trajectory and corporate resilience,” said one Lagos-based analyst. “The combination of exchange rate realignment, strong earnings, and the ongoing banking recapitalisation drive is making local equities increasingly attractive.”

The Nigerian capital market has benefited from the momentum of President Bola Tinubu’s economic reforms, with improved clarity around monetary policy and renewed interest in Nigeria’s oil and non-oil sectors bolstering investor sentiment.

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