Foreign investment in Nigeria’s stock market has surged to nearly ₦1.3 trillion in just seven months, marking the strongest inflow on record and signalling renewed global confidence in the economy.

According to the Nigerian Exchange Limited (NGX), foreign portfolio participation more than doubled year-on-year, rising 114% to ₦1.28 trillion by the end of July 2025. By comparison, foreign investment stood at ₦598 billion in the same period of 2024 and just ₦185.6 billion in 2023.

The surge also dwarfs levels recorded in previous years, far surpassing the ₦301.4 billion and ₦262.9 billion reported in 2022 and 2021 respectively.

Inflows triple, but outflows also rise

The NGX report showed that foreign inflows more than tripled to ₦609.7 billion, up from ₦266.6 billion a year earlier. Outflows, however, also spiked—rising to ₦671.6 billion compared with ₦331.4 billion in July 2024.

Overall, the surge in foreign portfolio investments (FPIs) lifted total market transactions to ₦6.01 trillion between January and July 2025—nearly double the ₦3.1 trillion recorded in the same period of 2024.

Analysts: forex stability driving confidence

Market analysts say the rebound reflects growing investor confidence fuelled by relative stability in Nigeria’s foreign exchange market, which has helped strengthen the naira.

Cordros Capital noted: “We expect sustained inflows from foreign portfolio investors due to existing carry trade opportunities and stronger market confidence.”

While the strong inflows point to Nigeria’s renewed attractiveness to global funds, analysts caution that rising outflows highlight lingering concerns over policy risks and market volatility.