Foreign investment in Nigeria’s stock market has risen sharply, showing stronger trust from global investors.
New figures reveal major growth in market activity over the last two years.
Foreign portfolio investment flowing into Nigeria’s stock market has recorded a major jump in the last two years, showing stronger confidence from international investors in the country’s financial market.
Latest data from the Nigerian Exchange Limited shows that foreign inflow into equities rose to N1.03 trillion as at September 2025. This marks an increase of about 846 percent compared to the N108.93 billion recorded around the same period in 2023.
The figures also indicate that foreign outflow increased during the period. Investors moved out N810.39 billion from the market by September 2025, up from N149.09 billion in 2023. This represents an increase of 443.6 percent. Analysts say the increase in both inflow and outflow shows stronger activity from foreign participants who had reduced exposure in previous years.
According to the NGX report on Domestic and Foreign Portfolio Participation in Equity Trading, total foreign transactions, which include inflow and outflow, climbed to N1.8 trillion in two years. This is far above the N258.02 billion posted in 2023, reflecting a growth rate of more than 600 percent.
Overall, the market experienced a strong rise in participation from both local and foreign investors. Total transactions on the exchange jumped by 214.8 percent to N8.53 trillion during the period, compared with N2.71 trillion in 2023.
Domestic investors still played the leading role in market activity. Their transactions hit N6.69 trillion in two years, up from N2.454 trillion in 2023. This shows a growth rate of 172.6 percent. When compared with foreign transactions in 2023, domestic deals performed more than 2,400 percent higher.
Speaking on the development, Investment Banker and Stockbroker, Tajudeen Olayinka, said the rising foreign inflow is linked to more stability in the foreign exchange market. He noted progress such as improved foreign reserves and a decline in inflation and interest rates.
He stated that the progress gives credit to the reforms introduced by President Bola Ahmed Tinubu starting in 2023. Olayinka added that although some policies were tough on citizens, they were necessary to correct economic pressures. He however advised that more structural challenges must be fixed so that foreign funds do not exit suddenly if the global market becomes unstable.
Another analyst, David Adonri, Vice Executive Chairman of Highcap Securities Limited, said the trend shows clear improvement in investor confidence. He pointed out that the All Share Index has risen sharply from about 50,000 points in 2023 to over 155,000 points in 2025. He added that more companies have been able to raise funds through the capital market in the last two years than in the previous decade.
Adonri said the continued inflow of foreign portfolio funds has helped bring more stability to the exchange rate while also boosting investor wealth, which has a positive effect on the wider economy.
