Domestic investors on the Nigerian Exchange Limited (NGX) slashed their trades by 932 billion naira in August, dragging overall market activity to one of its lowest levels this year. According to the NGX Domestic and Foreign Portfolio Investment Report, total domestic transactions fell 55.87 per cent, from 1.669 trillion naira in July to 736.57 billion naira in August.
The report noted that the steep fall was primarily due to the absence of block trades, which had boosted transaction volumes in July. Without those large-ticket deals, daily trading volumes from local investors weakened sharply, underscoring the reliance of the market on big institutional flows.
The slowdown in domestic participation also hit the wider market, with total transaction value dropping 49.95 per cent month-on-month, from 1.815 billion naira in July to 908.38 billion naira in August. Analysts warn that unless liquidity returns and investor confidence strengthens, the exchange could face prolonged low turnover, dampening momentum in Nigeria’s capital market.
