Nigeria’s stock market is on track for a record-breaking year, with market capitalisation projected to cross the ₦100 trillion mark by the end of 2025, according to Kasimu Garba Kurfi, Managing Director/CEO of APT Securities and Funds Limited.
Speaking at the Mid-Year 2025 Capital Market Review and Outlook organised by the Capital Market Correspondents Association of Nigeria (CAMCAN) in Lagos, Kurfi said foreign exchange stability, strong corporate earnings, and vibrant primary market activities will drive the rally in the months ahead.
He forecast a stronger second half of the year, buoyed by an expected slowdown in inflation, a possible cut in the Central Bank of Nigeria’s (CBN) Monetary Policy Rate (MPR), and a decline in treasury bill yields. With the Purchasing Managers’ Index (PMI) likely to rise and the naira exchange rate stabilising, Kurfi believes equities will remain attractive to investors.
Kurfi noted that 2025 has so far witnessed zero foreign exchange losses for listed companies — a sharp contrast to the combined ₦867 billion losses recorded in 2023 and 2024. This, he said, has significantly lifted investor confidence.
He highlighted two major policy boosts: the Nigerian Insurance Industry Reform Act (NIIRA 25), which has spurred a surge in insurance stocks, and the CBN’s bank recapitalisation drive, which attracted over ₦2 trillion to the primary market in 2024, with similar inflows expected this year.
Foreign capital inflows have also surged, hitting $5.6 billion in Q1 2025 — up 67.42 per cent from $3.4 billion in Q1 2024. Foreign portfolio investors now account for 27.08 per cent of market activity, or ₦1.14 trillion, compared to under 10 per cent at the end of 2023. Domestic investors remain dominant at 72.92 per cent, or ₦3 trillion. Daily turnover has leapt to ₦25–₦30 billion from about ₦5 billion in past years.
By August 7, 2025, total market capitalisation had climbed to ₦126.73 trillion, up from ₦112.6 trillion in December 2024, while equity capitalisation surged to ₦92.73 trillion from ₦62.66 trillion. The All-Share Index (ASI) rose 41.61 per cent to 146,569.35 basis points, compared with 102,926.40 points at the end of last year.
Sector performance has been impressive, with the Nigerian Consumer Goods Index leading at 81.11 per cent growth, followed by Insurance (74.18%), NGX Lotus II (73.34%), Industrial Goods (53.89%), Pension (52.72%), and Banking (48.15%).
Kurfi urged investors to prioritise blue-chip stocks with solid fundamentals and insurance firms diversifying into asset management and pension fund administration. He also advised portfolio diversification into fixed-income assets, stressing that the capital market remains the best hedge against inflation and naira depreciation.
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