Nigerian Stocks Surge 16.49%, Add N17.79trn To Investors’ Wealth

The Nigerian equities market extended its strong rally in February 2026, delivering an estimated N17.79trn in capital gains to investors as the benchmark index advanced by 16.49 per cent, despite persistent macroeconomic headwinds including high inflation, foreign exchange volatility and lingering political uncertainties.

Data from the Nigerian Exchange Limited (NGX) Seen by THE WHISTLER showed that the All-Share Index (ASI) rose from 165,527.31 points at the beginning of the year to 192,826.78 points at the close of February, reflecting sustained buying interest across major sectors of the market.

In tandem with the rise in the index, the total market capitalisation of listed equities expanded significantly from N105.97tn to N123.76tn, underscoring renewed investor confidence in equities as a hedge against inflation and currency depreciation.

Market analysts attributed the robust performance to a combination of government policy reforms, accommodative monetary conditions and increased participation by domestic institutional investors, which collectively helped offset concerns about macroeconomic instability and global economic uncertainties.

The rally also signals growing confidence in the Nigerian capital market’s ability to serve as a channel for wealth creation and long-term investment, particularly as investors seek alternatives to traditional fixed-income instruments amid rising inflationary pressures.

Commenting on the market outlook, Chairman of NGX Group Plc, Umaru Kwairanga, said the strong performance highlights the importance of regulatory clarity, predictable policies and macroeconomic stability in sustaining long-term growth in the capital market.

Kwairanga noted that the Exchange’s strategic priorities for 2026 are anchored on coordinated reforms involving investors, issuers, regulators and market operators aimed at deepening market liquidity, strengthening integrity and enhancing overall resilience.

He urged investors to adopt long-term and diversified investment strategies that support market stability, while also drawing attention to the expanding role of technology in improving access to the capital market and broadening participation.

Kwairanga further stressed that environmental, social and governance (ESG) considerations are becoming increasingly central to attracting global capital and reinforcing investor confidence in emerging markets such as Nigeria.

Echoing similar sentiments, the Group Managing Director and Chief Executive Officer of NGX Group, Temi Popoola, reaffirmed the Exchange’s commitment to sustaining the current market momentum through deeper collaboration across the financial ecosystem.

“As we look ahead to 2026, NGX Group remains focused on deepening partnerships with regulators, issuers, market operators, policymakers and the wider financial ecosystem to sustain this momentum,” Popoola said.

“We are optimistic about the opportunities ahead and committed to positioning the Nigerian capital market as a key driver of economic growth and wealth creation, while advancing NGX Group’s vision as Africa’s preferred exchange hub.”

Popoola added that ongoing technological investments within the Exchange have enhanced transparency, operational efficiency and market access, further strengthening NGX’s role in supporting economic development across the continent.

Meanwhile, trading activity on the floor of the Exchange recorded a slight moderation in the final week of February. Investors traded a total of 5.494 billion shares valued at N196.71bn in 370,233 deals, compared with 7.662 billion shares worth N252.566bn exchanged in 345,118 deals in the previous week.

Sectoral performance during the period was mixed, with most indices closing lower except for NGX Banking, NGX Pension, NGX AFR Bank Value, NGX MERI Growth, NGX MERI Value, NGX Sovereign Bond and NGX Commodity indices, which posted gains of 0.71 per cent, 0.13 per cent, 2.35 per cent, 3.11 per cent, 0.92 per cent, 1.25 per cent and 1.27 per cent respectively.

By sectoral activity, the Financial Services Industry dominated the trading chart by volume, recording 3.241 billion shares valued at N82.775bn in 153,744 deals, representing 58.99 per cent and 42.08 per cent of total equity turnover volume and value respectively.

The Oil and Gas Industry followed with 897.862 million shares worth N38.816bn traded in 29,179 deals, while the Services Industry ranked third with 360.490 million shares valued at N5.782bn in 22,971 deals.

Trading activity was largely concentrated in three major equities, Japaul Gold & Ventures Plc, Fortis Global Insurance Plc and Zenith Bank Plc, which together accounted for 1.576 billion shares valued at N33.464bn in 30,055 deals, contributing 28.68 per cent and 17.01 per cent to the total equity turnover volume and value respectively.

Market breadth, however, weakened during the week as 32 equities recorded price appreciation, compared with 71 gainers in the previous week. On the downside, 69 equities declined in price, higher than the 41 recorded earlier, while 47 equities closed unchanged, compared with 36 in the preceding week.

Despite the short-term volatility in weekly trading patterns, analysts maintain that the broader market outlook remains positive, supported by improving corporate earnings expectations, policy reforms and growing domestic investor participation in Nigeria’s capital market.