Nigeria’s stock market has solidified its position as the second-largest in Africa, with its market capitalisation reaching a record $122 billion. This milestone reinforces the growing momentum in the Nigerian equities market, which has seen notable long-term wealth creation from key agriculture-sector performers like Presco Plc and Okomu Oil Palm Plc. Over the last decade, these firms delivered massive returns, compounding investor capital significantly even when adjusted for dollar values. While South Africa continues to dominate the continent’s landscape with a $1.49 trillion market, Nigeria has successfully widened its lead over Morocco, which remains the only other African market currently exceeding the $100 billion threshold. Increased foreign interest and a more stable macroeconomic environment are credited with this performance.

The Nigerian equities market hit record highs on Monday, September 21, 2026, as the All-Share Index rose to 250,156.80 points, pushing year-to-date gains to 60.76% and total market capitalization to a record N162.39 trillion. This rally follows the formal restoration of Nigeria to the FTSE Russell Frontier Market Index, effectively ending a three-year exclusion from global investment benchmarks. Market breadth remained positive with 39 advancers against 25 decliners, while trading activity surged, recording 68,655 deals. Analysts attribute the momentum to both international index reclassification and strong domestic demand, which has successfully absorbed liquidity outflows linked to the ongoing Dangote Refinery initial public offering. Broad sectoral gains were led by the banking, industrial, and consumer goods indices.

The Nigerian Exchange (NGX) All-Share Index has surged past the 250,000-point threshold, closing at 250,156.80 points after eight consecutive days of gains. Market capitalization now exceeds N162 trillion, reflecting a 61% year-to-date return. This rally is driven by institutional positioning ahead of global index reclassifications, improved liquidity, and robust investor interest in Tier-1 banking and oil-linked stocks. Despite the broad index rise, some profit-taking was observed in specific stocks like Okomu Oil and Custodian. Analysts suggest that significant corporate actions, including bank recapitalization efforts and anticipation surrounding major upcoming listings, are sustaining market momentum.

The Nigerian Exchange Group (NGX) hit an all-time high on Monday, with the All-Share Index rising 0.14 percent to 250,156.80 points as Nigeria officially re-entered the FTSE Russell Frontier Market index. The reclassification, which took effect September 21, triggered targeted institutional buying in tier-one banking stocks, most notably Zenith Bank, GTCO, and FirstHoldCo. While the initial influx of global tracker funds led to a marginal market gain, trading patterns indicate deliberate institutional positioning. Market activity surged, with the number of deals increasing by nearly 55 percent, signaling growing international engagement following a three-year hiatus due to liquidity concerns. Analysts expect this positive sentiment to persist as global benchmark funds complete their portfolio adjustments.

Nigerian equities rallied during Friday’s trading session, driven by investor optimism following FTSE Russell’s confirmation of thirty-one Nigerian stocks for its Frontier Index Series. This follows Nigeria’s official reclassification to Frontier Market status, effective September 21, 2026. Market analysts expect the transition to improve global visibility, liquidity, and foreign portfolio inflows, particularly for large-cap stocks that meet the index criteria. The NGX All Share Index rose to 247,016 points, with banking sector gains leading the market activity.

Nigeria’s largest listed oil and gas companies recorded a stellar first half in 2026, driven by a surge in global crude prices linked to the US-Israel-Iran conflict. Seplat Energy, Aradel Holdings, and Oando reported a combined revenue of N7.05 trillion. While private upstream operators benefited from improved production and high prices, the sector faced mixed profitability due to varying finance costs and operational structures. In contrast, domestic palm oil producers Okomu Oil and Presco saw their weakest H1 revenue performance in years, as increased imports of cheaper palm oil eroded domestic pricing power.

Okomu Oil Palm Plc has reported a 12% decline in pre-tax profit to N58.99 billion for the first half of 2026, down from N67.05 billion in the same period last year. Revenue dipped by 3.5% to N125.29 billion, as weaker local and export sales combined with rising production costs pressured margins. Profit after tax also fell 16.42% to N39.73 billion. Despite the operational headwinds, the company’s total assets grew to N166.71 billion, with cash reserves rising to N21.40 billion as of June 30, 2026.

Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, has stated that the regulator will maintain heightened supervision of the banking sector despite the successful conclusion of the recent recapitalisation exercise.

Speaking at the BusinessDay 14th Annual CEO Forum, Cardoso noted that while the industry raised between N4 trillion and N5 trillion in fresh capital to build resilience against economic shocks, continuous oversight remains essential. He emphasized that the stronger capital base is intended to support eventual increased lending to the private sector once inflation and interest rates moderate. Cardoso also warned banks against indiscriminate lending, urging them to prioritize sophisticated risk management and proper analysis, especially when navigating complex sectors like oil and gas. The CBN plans to collaborate with financial institutions to enhance their internal risk assessment capabilities.