By CSL Research
Domestic investors maintained their dominant position in the Nigerian Exchange Limited (NGX) in April 2025, accounting for a substantial 87.00% of total transaction value, while Foreign Portfolio Investors (FPIs) contributed 13.00%.
Total transactions on the NGX in April stood at N482.04bn, representing a 56.79% month-month (MoM) decrease from the N1.12trn recorded in March.
Domestic transactions improved marginally, rising from N415.62bn in March to N418.97bn in April. Institutional investors remained the primary drivers of this activity, accounting for N237.66bn in April, ahead of retail investors, who contributed N181.31bn.
In contrast to the previous month, foreign portfolio investment (FPI) activities in the Nigerian stock market declined sharply in April 2025.
Total FPI transactions dropped by 90.99% to N63.07bn, compared to N699.89bn in March.
This sharp decline is primarily attributed to the absence of block trades, which had significantly boosted both foreign inflows and outflows in March.
In April, foreign inflows stood at N26.64bn, while outflows totalled N36.43bn, both significantly lower than March figures of N349.97bn and N349.92bn, respectively.
The steep fall in foreign investor participation highlights growing global economic uncertainty, which has increased market volatility and triggered greater risk aversion.
As a result, many investors are re-evaluating their exposure to emerging markets amid shifting macroeconomic conditions in developed economies.
Despite these external pressures, domestic investor confidence remains resilient. This strength is underpinned by relative macroeconomic stability, solid corporate earnings, and steady institutional participation.
Looking ahead, as global headwinds persist, domestic investors are expected to remain the key drivers of activities in the Nigerian equities market.
