By CSL Stockbrokers
Data published by the Nigerian Exchange Limited (NGX) showed that total transactions on the domestic bourse increased by 43.1% month-on-month (MoM) to N1.8trn in September 2026, from N1.3trn in August 2026. Compared with N1.6trn in September 2025, total market turnover rose 12.0% year-on-year (YoY).
Domestic transactions drove the MoM growth, rising 34.6% to N1.6trn from N1.2trn the previous month. Domestic investors accounted for 89.5% of total turnover, down from 95.1% in August, reflecting a modest recovery in foreign participation.
Domestic transactions rose to N1.0trn from N654.6bn, while retail transactions rose to N619.8bn from N552.9bn. The improvement across both segments indicates broad-based growth in domestic trading activity.
Foreign Portfolio Investment (FPI) activity also strengthened in September, with total foreign transactions rising by 208.1% month-on-month (m/m) to N191.1bn from N62.0bn in August. Consequently, foreign investors’ share of total market turnover rose to 10.5% from 4.9% the previous month.
The increase reflected higher activity on both sides of the market, as foreign inflows rose 249.5% to N92.5bn from N26.5bn, while outflows rose 177.3% to N98.6bn from N35.6bn.
Notably, foreign outflows exceeded inflows by N6.bn, suggesting that the increase in foreign participation did not translate into net foreign buying during the month.
Year-to-date (YTD), total market turnover reached N15.1trn, significantly higher than the N8.5trn recorded over the corresponding period of 2025.
Domestic investors remained the primary drivers of market activity, accounting for N13.5trn, or approximately 89.7% of total turnover, compared with N6.7trn, or 78.4%, in the corresponding period of 2025.
In contrast, foreign transactions amounted to approximately N1.5trn, or 10.3% of total turnover, down from N1.8trn, or 21.6%, in the same period last year.
This divergence highlights the growing importance of domestic capital in sustaining market activity, despite a decline in foreign investors’ relative contribution.
Despite intermittent profit-taking and episodes of heightened volatility, the Nigerian equities market has remained resilient in 2026, supported by robust corporate earnings, improving macroeconomic conditions and ongoing policy reforms.
Looking ahead, we maintain a constructive outlook, as sustained earnings growth, greater macroeconomic stability, continued capital market reforms and sustained domestic investor participation are expected to support market liquidity, investor sentiment and equity valuations. A recovery in foreign investor confidence could further support market activity.
Nevertheless, geopolitical tensions, persistent inflationary pressures, pre-election uncertainty and tighter global financial conditions remain key downside risks that could weigh on investor sentiment and foreign capital flows.
