Nigerian Stock Market Hits N127tr Capitalisation as Reforms, Investor Confidence Fuel Growth

The Nigerian capital market achieved a significant milestone in the first half of 2025, with total market capitalisation rising by N14.13 trillion to N126.73 trillion. This represents a 16% growth from N112.60 trillion recorded at the start of the year, driven by positive momentum across equities, fixed income, and exchange-traded funds (ETFs). The equities segment was the most robust, increasing from N62.76 trillion to N75.95 trillion, while ETFs grew modestly, and fixed income instruments remained stable at N50.56 trillion.

Companies and government entities raised over N4.63 trillion within the six-month period, reflecting a strong reliance on the capital market for funding economic and infrastructure projects. The Nigerian Exchange Group (NGX Group) attributed the bullish trend to regulatory clarity, macroeconomic reforms, and increasing investor confidence—both local and foreign. These gains positioned the Nigerian stock market among the best-performing globally.

Temi Popoola, Group Managing Director of NGX Group, emphasized that the growth stemmed from deliberate structural reforms, increased collaboration with the Securities and Exchange Commission (SEC), and enhanced investor protections. The Group’s investments in digital access platforms like NGX Invest and partnerships with global exchanges (such as in Ethiopia and Asia) reflect its strategic push for market expansion and integration beyond Nigeria.

NGX Group has also prioritized sustainability and inclusivity, citing its partnerships with DEG Impulse and the International Finance Corporation (IFC) to support green finance and ESG reporting. Financial literacy initiatives and gender inclusion programs further underscore the exchange’s commitment to a balanced financial ecosystem. Popoola stated that these efforts aim to build a future-ready capital market capable of continental and global influence.

Market analysts, including leaders of Arthur Steven Asset Management and HighCap Securities, affirmed that investor confidence, macroeconomic reforms, and enhanced corporate performance are the key drivers of the rally. The resurgence in foreign portfolio investments, improved company fundamentals, and oversubscribed public offerings were highlighted as signs of a maturing, resilient, and globally attractive Nigerian capital market.

Source: The Nation