The Nigerian Exchange (NGX) has crossed a historic milestone, with its market capitalisation surpassing the N90 trillion mark for the first time, signalling renewed investor confidence, sustained bullish momentum and the growing appeal of Nigerian equities amid ongoing economic reforms.
Data from the exchange at the close of trading yesterday showed that the total market capitalisation of listed equities on the NGX rose above N90 trillion, capping weeks of consistent gains across key sectors, particularly banking, consumer goods, industrials and oil and gas.
The all-share index (ASI) rose by 1.9 per cent to close at 144,074.23 from the previous 141,263.05, reflecting renewed investor confidence. Market capitalisation of listed equities increased by 1.9 per cent to N91.15 trillion from N89.37 trillion recorded on Friday, reflecting a bullish trend. This brings the NGX ASI year-to-date (YTD) growth figure to 39.98 per cent.
The rally was driven by strong corporate earnings, improved macroeconomic indicators and increased foreign portfolio participation as clarity around Nigeria’s monetary and fiscal direction continues to unfold.
Institutional investors have been particularly active, rebalancing their portfolios in favour of equities amid expectations of stable returns and capital gains.
Over the past month, the NGX has witnessed substantial growth, with companies such as Zenith Bank, GTCO, Dangote Cement, BUA Foods and Seplat Energy contributing significantly to the surge in market capitalisation. Several stocks have not only recovered from earlier-year lows but have also exceeded previous price ceilings, underscoring the positive market sentiment.
While some market watchers caution that profit-taking may soon moderate the pace of gains, others believe the rally has further room to run, especially if upcoming inflation data and further macroeconomic reforms remain favourable.
The N90 trillion mark is also an indication of NGX’s growing strategic importance within the African capital markets landscape. It underscores the need for continued policy consistency, investor protection, and deepening of the domestic capital market to sustain the current momentum and attract longer-term investments.
Analysts attributed the latest surge in valuation to a combination of factors, including the continued appreciation of the naira, falling inflation expectations, and the Central Bank of Nigeria’s recent decision to hold interest rates steady, which has boosted liquidity in the capital market. The second-quarter earnings season has also played a pivotal role, with several blue-chip companies posting impressive profit growth, thereby attracting both local and foreign investors.
An independent Investor, Amaechi Egbo, has described the Nigerian Exchange’s breakthrough past the N90 trillion market capitalisation mark as more than just a statistical feat, calling it a powerful psychological milestone that signals deepening investor conviction and broad-based market optimism.
Speaking on the implications of the development, Egbo said the landmark achievement reflects more than the outcome of bullish trading sessions – it encapsulates a larger story of renewed trust in Nigeria’s corporate sector, policy direction and economic trajectory.
He explained that the market’s recent performance is symbolic of shifting investor behaviour, especially from cautious spectatorship to active participation, driven by improving macroeconomic fundamentals and credible signals from policymakers.
According to him, such levels of market capitalisation are not typically attained in an environment of uncertainty, but rather in climates where confidence, clarity, and continuity are beginning to take root.
Egbo further pointed out that this achievement did not happen in isolation. It is the result of a series of market-moving developments: earnings surprises from major listed firms, relative currency stability, declining inflationary pressure, and foreign investor re-engagement with Nigerian equities.
“There’s a sense now that we are witnessing not just a cyclical rally but the beginning of a structural re-rating of Nigerian stocks,” he added. “Investors are responding to substance, not just sentiment. And once the market hits psychological benchmarks like this, it often lays the groundwork for new inflows, stronger valuations, and broader participation.”
Egbo urged policymakers to consolidate the momentum by maintaining reform discipline, ensuring regulatory transparency, and deepening access to capital for both local and foreign investors.
