November 27, 2025/CSL Update
Foreign portfolio investment (FPI) activity on the Nigerian Exchange (NGX) fell sharply in October 2025. Total FPI transactions dropped by 51.85% to ₦186.62 billion (US$131.27 million), down from ₦387.62 billion (US$262.73 million) in September. As a result, FPI accounted for 18.07% of total market turnover in October, compared with 23.91% in the previous month. Domestic investor participation also weakened.
Domestic transactions declined by 31.43% to ₦845.96 billion in October, from ₦1.23 trillion in September, though they continued to dominate total market activity, representing 81.93% of trades (up from 76.09% in September). The decline in FPI transactions was driven primarily by a sharp drop in inflows, which fell to ₦87.45 billion in October from ₦325.46 billion in September. Meanwhile, foreign outflows increased to ₦99.17 billion, compared with ₦62.16 billion in the previous month.
On the domestic side, institutional trades declined sharply to ₦514.25 billion in October, down from ₦955.26 billion in September. These comprised ₦247.99 billion (48.22%) in inflows and ₦266.26 billion (51.78%) in outflows. Retail investors recorded ₦331.71 billion in trades, compared with ₦278.57 billion in September, with a slight tilt toward outflows of ₦178.20 billion versus inflows of ₦153.51 billion.
Overall activity on the nation’s bourse fell significantly by 36.31%, dropping from ₦1.62 trillion (US$1.10 billion) in September 2025 to ₦1.03 trillion (US$726.29 million) in October 2025. Year-to-date, total market transactions have reached ₦9.57 trillion, more than double the ₦4.47 trillion recorded in the same period in 2024. Domestic investors remain dominant, accounting for ₦7.54 trillion (78.82%) of year-to-date turnover, though slightly lower than their 83.35% share a year earlier. Meanwhile, foreign participation has risen to 21.18% (₦2.03 trillion), up from 16.65% (₦744.34 billion) in the corresponding period of 2024.
The sharp decline in foreign portfolio activity reflects weakening investor confidence, driven in part by ongoing uncertainty surrounding the planned implementation of the capital gains tax (CGT). The NGX also noted the absence of large block trades during the month, which reduced market liquidity and contributed to the pullback in both foreign and domestic participation. Nevertheless, overall market performance in 2025 has remained resilient.
Strong corporate earnings, improving macroeconomic conditions, moderating fixed-income yields, and supportive policy measures across key sectors have continued to reinforce investor confidence and sustain positive momentum in the equities market.
Click here to download full report: CSL Nigeria Daily – 27 November 2025 – Equities .pdf
