Domestic investors have tightened their grip on the Nigerian equities market, accounting for 89.8% of total transactions valued at N13.2 trillion in the first eight months of 2026. This is according to data by the Nigerian Exchange Limited (NGX). The dominance of local investors in the Nigerian equities market is growing, with domestic investors accounting for approximately N11.89 trillion of transactions between January and August.
The latest NGX Domestic and Foreign Portfolio Participation report showed that foreign investors accounted for N1.35 trillion, representing 10.23% of total transactions. The figures highlight the growing dominance of local investors in the Nigerian equities market, even as overall trading activity fell sharply in August. Total transactions on the NGX declined by 46.38% from N2.36 trillion in July to N1.26 trillion in August.
Despite the month-on-month decline, August trading remained higher than the corresponding period of last year, with total transactions rising by 39.75% from N0.9084 trillion in August 2025. The decline in August was driven by both domestic and foreign investors, although domestic investors continued to account for the overwhelming share of trading activity.
Domestic transactions fell by 45.98% from N2.23 trillion in July to N1.2 trillion in August, while foreign transactions declined by 53.23% from N0.1326 trillion to N0.06203 trillion during the same period. The NGX data showed that domestic investors accounted for about 95% of total transactions in August, leaving foreign investors with about 5%.
Within the domestic market, retail investors recorded a smaller decline in activity than institutional investors during the month. Retail transactions decreased by 5.08% from N0.58244 trillion in July to N0.55288 trillion in August. Institutional transactions, however, fell sharply by 60.39% from N1.65263 trillion in July to N0.65461 trillion in August.
Despite the decline, institutional investors continued to record higher transactions than retail investors in August, with institutional transactions exceeding retail transactions by about 8%. The latest figures also showed the significant increase in domestic participation in the equities market over the longer term. Over the 19-year period from 2007 to 2025, domestic transactions increased by 160.83% from N3.55 trillion in 2007 to N9.27 trillion in 2025.
Foreign transactions also increased over the same period, rising by 329.9% from N0.6156 trillion in 2007 to N2.64 trillion in 2025. Domestic investors accounted for about 78% of total transactions carried out on the NGX in 2025, while foreign investors accounted for about 22%. However, the balance has shifted further in favour of domestic investors in 2026, with local investors accounting for 89.77% of transactions as at August 31.
Key points
- Domestic investors account for 89.8% of NGX trades valued at N13.2 trillion in the first eight months of 2026.
- Foreign investors accounted for 10.23% of total transactions, with their share of trading activity declining significantly compared with the previous year.
- Domestic transactions increased by 160.83% over the 19-year period from 2007 to 2025, while foreign transactions rose by 329.9% over the same period.
