The Nigerian Exchange Limited (NGX) experienced a historic surge in foreign investors’ transactions in the first 10 months of 2024, reaching N744.34 billion—a 156% Year-on-Year (YoY) increase compared to N291.38 billion during the same period in 2023.
This marks an all-time high in foreign investment activity on the Nigerian bourse, as revealed in the NGX’s October 2024 report on “Domestic & Foreign Portfolio Participation in Equity Trading.”
Foreign investors accounted for 16.65% of the total N4.47 trillion transactions recorded in 2024, with inflows of N344.30 billion and outflows of N400.04 billion. This growth is primarily attributed to reforms in Nigeria’s foreign exchange market by the Central Bank of Nigeria (CBN), which enhanced transparency and stability, bolstering investor confidence in the market.
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Domestic investors, encompassing both retail and institutional players, transacted a total of N3.726 trillion in the same period, with retail investors contributing N1.909 trillion—more than double the N935.78 billion recorded in 2023. Institutional investors also saw growth, transacting N1.816 trillion compared to N1.706 trillion in the prior year. The NGX’s total transactions saw a 1.97% monthly increase from N493.01 billion in September 2024 to N502.73 billion in October 2024, and a 127.54% YoY rise compared to October 2023.
The record-breaking foreign and domestic participation reflects growing confidence in Nigeria’s capital market, supported by ongoing economic reforms and regulatory measures. This robust market activity underscores the positive impact of policy adjustments and signals potential sustained growth in investor engagement moving forward.
