By The Ameh News
Nigeria’s capital market may be heading for another impressive half-year performance as market operators projected sustained investor interest, stronger corporate earnings and continued reforms to drive growth despite lingering macroeconomic challenges.
These were the highlights of the Mid-Year 2026 Capital Market Review and Outlook, organised by the Capital Market Correspondents Association of Nigeria (CAMCAN) on Tuesday at the Nigerian Exchange (NGX) Group headquarters, Lagos Island.
Opening the event, Friday Ekeoba, Chairman of CAMCAN, welcomed journalists, capital market operators and stakeholders, describing the forum as an important platform for reviewing the performance of the Nigerian capital market during the first six months of 2026 and evaluating prospects for the remainder of the year.
Ekeoba noted that Nigeria’s capital market has continued to demonstrate resilience amid monetary tightening, exchange-rate adjustments and evolving economic reforms.
He said the role of financial journalists has become increasingly critical in providing accurate, balanced and analytical reporting capable of improving investor confidence and supporting the development of the capital market.
Introducing the guest speaker, David Adonri, Managing Director of Hicap Securities Ltd., Ekeoba described him as one of Nigeria’s foremost investment professionals with decades of experience in securities trading, investment advisory, portfolio management and capital market development.
According to him, Adonri’s expertise provides valuable insight into market trends, investment opportunities and the policy direction likely to shape the Nigerian capital market during the second half of 2026.
Key Market Performance
During the review, market operators noted that the Nigerian equities market has remained one of Africa’s strongest-performing exchanges in 2026.
Available market data indicate that the NGX All-Share Index (ASI) has appreciated by approximately 29 percent in the first half of 2026, while market capitalisation has recorded significant gains, supported by banking, consumer goods, industrial and telecommunications stocks.
Analysts attributed the rally to:
Strong first-quarter corporate earnings.
Improved domestic institutional participation.
Increased pension fund investments.
Ongoing banking sector recapitalisation.
Expectations of moderating inflation and stronger economic growth.
Several operators also pointed to improved market liquidity following the transition to a faster T+1 settlement cycle recently, which is expected to enhance trading efficiency and attract more domestic and foreign investors.
Outlook for Second Half of 2026
David Adonri projected that the market could maintain its positive momentum through year-end if current macroeconomic reforms remain on course.
According to him, sectors expected to attract the strongest investor interest include:
Banking
Telecommunications
Industrial goods
Consumer goods
Agriculture
Energy
He observed that ongoing bank recapitalisation is creating fresh opportunities for capital raising through public offers, rights issues and private placements, deepening Nigeria’s capital market.
Adonri also advised investors to focus on fundamentally strong companies with consistent dividend records rather than speculative trading.
Risks to Watch
Despite the positive outlook, operators identified several risks capable of slowing market growth, including:
Persistent inflationary pressures.
High interest rates.
Exchange-rate volatility.
Global geopolitical uncertainties.
Reduced foreign portfolio inflows.
However, they maintained that Nigeria’s improving macroeconomic outlook could outweigh these risks if fiscal and monetary authorities sustain current reforms.
Recent market projections suggest Nigeria’s economy could expand by around 4.7 per cent in 2026, supported by easing inflation, stronger oil production and improving investor confidence.
The Ameh News Explains
The first half of 2026 has reinforced the Nigerian capital market’s position as one of Africa’s most active investment destinations. While economic headwinds remain, stronger corporate profitability, banking recapitalisation and ongoing market reforms have improved investor sentiment.
Experts believe that if inflation continues to moderate and reforms remain consistent, the equities market could close 2026 with another year of double-digit returns, although stock selection based on company fundamentals will remain essential.
What’s Next?
Attention will now shift to:
Half-year corporate earnings releases.
Monetary Policy Committee decisions.
Progress on bank recapitalisation.
New public offerings and listings.
Foreign portfolio investment flows.
Implementation of additional Securities and Exchange Commission reforms aimed at deepening the Nigerian capital market.
Market participants expect these developments to determine whether the current rally can be sustained through the end of 2026.
Capital market experts at CAMCAN’s Mid-Year 2026 Review project continued growth for the Nigerian stock market, citing strong corporate earnings, banking recapitalisation and improved investor confidence despite inflation and exchange-rate risks.
Discover more from Ameh News
Subscribe to get the latest posts sent to your email.
