MON AUG 31 2026-theGBJournal| Trading activity on the Nigerian equities market surged to a record in July, with total transactions climbing 38.2% month-on-month to N2.37 trillion, as domestic investors stepped up their participation and more than offset a sharp decline in foreign portfolio activity.
Data from the Domestic and Foreign Portfolio Report of the Nigerian Exchange (NGX) showed that July’s turnover surpassed the N1.71 trillion recorded in June, marking an all-time high and underscoring the growing influence of local investors in the market.
The sharp increase was driven primarily by domestic investors, who accounted for 94.4% of gross transactions during the month.
Domestic investor transactions rose 46.4% month-on-month to N2.24 trillion, from N1.53 trillion in June, as activity increased across both institutional and retail segments.
Institutional investors led the expansion, with their transactions jumping 66.2% month-on-month, while retail investor activity increased 9.4% over the same period.
The strong domestic participation highlights the increasing role of Nigerian investors in supporting market liquidity at a time when foreign participation has continued to weaken.
Foreign investor transactions, by contrast, declined 29.0% month-on-month to N132.62 billion, compared with N186.79 billion in June.
The divergence suggests that the July surge in market activity was largely a domestic-driven rally in trading volumes rather than a broad-based increase in foreign capital participation.
Despite the decline in foreign transactions, the market swung back into positive territory on a net basis.
The equities market recorded net inflows of N24.95 billion in July, reversing the N48.99 billion net outflow recorded in June.
The turnaround was driven mainly by domestic investors, whose transactions generated net inflows of N74.39 billion. That more than offset N49.44 billion in net foreign outflows, resulting in an overall positive flow position for the market.
The figures point to a notable shift in the composition of liquidity on the NGX, with domestic capital increasingly cushioning the impact of weaker foreign participation.
For the market, the record N2.37 trillion turnover also signals heightened investor activity and liquidity, although the continued contraction in foreign participation remains a key consideration for the outlook for international capital flows into Nigerian equities.
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