The Nigerian stock market recorded a surge in equity trading activities in June 2025, with total transactions hitting N778.65bn, representing a year-on-year increase of 120 per cent compared to N354.55bn, recorded in the same month last year.
Data released by the Nigerian Exchange Limited on Tuesday showed that the market’s growth was driven largely by increased participation from domestic investors, who accounted for approximately 64 per cent of the total trading value during the month.
A detailed analysis of the market activity revealed that total domestic transactions grew by 9.93 per cent from N581.59bn in May 2025 to N639.34bn in June 2025. Foreign transactions also experienced a robust increase of 17.16 per cent, rising from N118.91bn, approximately $74.97m, in May to N139.31bn, about $91.07m, in June.
The breakdown of domestic trading activity showed a significant shift in investor behaviour. Institutional investors outperformed retail investors by 14 per cent, with institutional transactions surging by 49.39 per cent from N244.13bn in May to N364.71bn in June. Meanwhile, retail transactions declined by 18.62 per cent, dropping from N337.46bn in May to N274.63bn in June.
Market analysts attributed the increased institutional participation to growing confidence among long-term investors and fund managers, who are capitalising on favourable economic indicators and corporate earnings reports.
Foreign portfolio investment also played a vital role in the market’s performance, as foreign inflows into equities rose from N118.91bn in May to N139 in June, marking a 17 per cent increase, while foreign outflows were comparatively lower, underscoring a net positive foreign investment sentiment.
Year-to-date figures reinforce the bullish market outlook, with total equity transactions reaching N4.19tn in the first half of 2025, compared to N2.60tn during the same period in 2024.
Domestic investors have maintained a dominant presence, accounting for nearly 73 per cent of total trading volumes so far this year.
Over the longer term, the Nigerian equity market has demonstrated steady growth. Data spanning eighteen years shows domestic transactions increased by 33.15 per cent from N3.56tn in 2007 to N4.74tn in 2024, while foreign transactions grew by 38.31 per cent over the same period.
The PUNCH reported that foreign portfolio investment on the Nigerian Exchange Limited rose in May, climbing by 88.54 per cent to N118.91bn from N63.07bn recorded in April 2025.
