According to the Domestic and Foreign Portfolio Transactions Report released by the NGX on Thursday, foreign inflows dropped by 30.7 percent to ₦50.48 billion in July, compared to ₦72.82 billion recorded in June. At the same time, foreign outflows rose sharply by 43.6 percent, climbing to ₦95.47 billion from ₦66.49 billion in June.
Despite the slowdown in foreign interest, total market turnover grew by an impressive 133.09 percent, moving from ₦778.65 billion (about $509.02 million) in June to ₦1.815 trillion (about $1.835 billion) in July. This represented a year-on-year leap of 269.19 percent from the ₦491.61 billion transactions posted in July 2024.
The NGX explained that the spike was largely driven by block trades, which boosted domestic participation. In July, local investors continued to dominate activity on the bourse, executing transactions that outpaced foreign trades by nearly 84 percent.
Domestic vs Foreign Performance
Total foreign transactions grew modestly by 4.76 percent, from ₦139.31 billion in June to ₦145.95 billion in July. However, the real momentum came from domestic investors, where activity more than doubled within a month.
Retail transactions rose by 88.07 percent to ₦516.50 billion in July from ₦274.63 billion in June. Institutional investors, on the other hand, recorded a much steeper climb of 216.03 percent, from ₦364.71 billion in June to ₦1.1526 trillion in July, outperforming retail investors by 38 percent.
Long-Term Market Trends
The NGX report also placed the current dynamics within an 18-year context. Between 2007 and 2024, domestic transactions rose by 33.15 percent, from ₦3.556 trillion to ₦4.735 trillion, while foreign transactions increased by 38.31 percent, from ₦616 billion to ₦852 billion.
In 2024, domestic investors accounted for 85 percent of total trades, with foreign investors contributing only 15 percent. For 2025 so far, domestic transactions stand at about ₦4.7269 trillion, while foreign trades amount to approximately ₦1.28123 trillion—a reflection of the widening dominance of local players.
Outlook
The July data underscores both the resilience of local investors and the persistent caution of foreign players amid Nigeria’s economic headwinds. Analysts note that while reforms and rising block trades have boosted turnover, sustained foreign participation will depend on currency stability, inflation management, and investor confidence in policy direction.