Domestic investors have taken a firm grip on the Nigerian equities market, accounting for 89.77% of total transactions on the Nigerian Exchange (NGX) in the first eight months of 2026. According to data from the NGX, domestic investors traded N11.89 trillion, while foreign investors contributed N1.35 trillion, or 10.23% of total market transactions. This marks a significant shift in the structure of trading on the NGX, with domestic participation rising sharply.
The total value of transactions on the NGX rose 91.5% to N13.25 trillion in the first eight months of 2026, compared with N6.92 trillion recorded in the corresponding period of 2025. Domestic transactions more than doubled from N5.46 trillion in the first eight months of 2025 to N11.89 trillion this year. In contrast, foreign transactions fell from N1.45 trillion to N1.35 trillion. This indicates a substantial increase in domestic investor activity.
Institutional investors drove the surge in domestic participation, with their transactions reaching N7.36 trillion during the period, compared with N4.53 trillion by retail investors. In the corresponding period of 2025, institutional and retail investors recorded N3.13 trillion and N2.33 trillion, respectively. This shows that institutional investors are playing a significant role in driving domestic investor activity.
The scale of local participation is significant when compared with the full-year figures for 2025. Domestic transactions for the whole of last year stood at N9.27 trillion, meaning local investors have already surpassed that figure by about 28% within the first eight months of 2026. Foreign participation, by contrast, remains below its 2025 level, with foreign transactions totaling N2.65 trillion for the whole of 2025.
Despite the sharp expansion in market activity in 2026, the pace of trading moderated considerably in August. Total transactions fell 46.38% month-on-month to N1.27 trillion in August from N2.37 trillion in July. Domestic transactions declined 45.98% month-on-month to N1.21 trillion, while foreign transactions fell by 53.23% to N62.03 billion.
The decline in foreign activity meant that domestic investors accounted for an even larger proportion of the market in August, rising to 95.11% of total transactions. Institutional investors bore the brunt of the August slowdown, with their transactions plunging 60.39% to N654.61 billion from N1.65 trillion in July. Retail investors recorded a relatively modest decline, with their transactions falling 5.08% month-on-month.
The longer-term trend shows a substantial increase in the contribution of domestic investors to the Nigerian equities market. Domestic transactions, which stood at N3.56 trillion in 2007, rose to N9.27 trillion in 2025 and have now climbed to N11.89 trillion in just eight months of 2026. This indicates a market increasingly sustained by domestic liquidity.
Key points
- Domestic investors account for 89.77% of total NGX transactions in the first eight months of 2026.
- Total NGX transactions rise 91.5% to N13.25 trillion in the first eight months of 2026.
- Institutional investors drive surge in domestic participation, with transactions reaching N7.36 trillion.
