Domestic, Foreign Portfolio Investments Hit N1.80trn In April

Domestic and foreign portfolio investments on the Nigerian Exchange Limited (NGX) climbed to N1.803 trillion in April 2026, reflecting sustained investor confidence in the equities market despite a moderation in foreign participation.

According to the latest Domestic and Foreign Portfolio Investment Report released by NGX Regulation Limited, total transactions increased by 3.35 per cent month-on-month from N1.744 trillion recorded in March 2026.

The report also highlighted a significant year-on-year improvement in market activity, with total transactions soaring by 274.05 per cent to N482 billion, up from N482 billion recorded in April 2025. The sharp rise underscores stronger investor participation and growing confidence in Nigerian equities.

The robust April performance lifted total market transactions for the first four months of 2026 to N5.952 trillion, more than double the N2.714 trillion recorded during the corresponding period in 2025.

A breakdown of the data showed that domestic investors remained the dominant force in the market, accounting for the bulk of trading activity during the month.

Domestic transactions rose to N1.555 trillion in April, representing 86.26 per cent of total market turnover, compared with N1.456 trillion or 83.44 per cent recorded in March.

Although foreign participation remained significantly higher than levels seen a year ago, foreign transactions declined to N247.78 billion in April from N288.82 billion in March, accounting for 13.74 per cent of total market activity.

Further analysis of foreign flows showed that foreign inflows stood at N90.84 billion, while foreign outflows reached N156.94 billion, indicating that foreign investors remained net sellers of Nigerian equities for the second consecutive month.

Within the domestic segment, retail investors recorded a strong comeback, with transactions rising to N683.74 billion in April from N541.37 billion in March. Institutional transactions, on the other hand, eased slightly to N871.38 billion from N914.23 billion recorded in the preceding month.

Despite the marginal decline, institutional investors continued to account for the larger share of domestic market activity, maintaining their position as the primary drivers of trading on the Exchange.

Market analysts said the latest figures demonstrate the resilience of the Nigerian equities market, supported largely by strong domestic participation even as foreign investors adopted a more cautious stance.

They noted that while foreign investor appetite softened after the elevated activity levels recorded in March, domestic institutional and retail investors continued to provide substantial support for market liquidity and transaction growth.

Analysts also pointed to the resurgence of retail participation as a positive development for market depth and inclusiveness, suggesting that more individual investors are taking advantage of favourable market conditions and improved access to trading platforms.

According to them, the continued expansion of domestic participation, alongside improving foreign investor interest relative to previous years, reflects the increasing maturity and depth of Nigeria’s capital market.

They added that although offshore investors remain cautious due to concerns over capital flows and broader market conditions, the strength of domestic demand has helped sustain momentum in the equities market and supported overall transaction growth in 2026.

The April performance further reinforces the growing role of domestic investors in driving activity on the NGX, while highlighting the market’s ability to attract significant capital despite prevailing economic uncertainties.