Nigerian stock market has recorded its most impressive run under any civilian administration since 1999, with the All-Share Index (ASI) gaining 136% since President Bola Ahmed Tinubu assumed office in May 2023.
Gatekeepers News reports that the ASI, according to Nairametrics analysis, has surged from 55,769.28 points to over 131,000 points, a historic milestone for the Nigerian capital market. This performance surpasses that of previous administrations, including the Obasanjo administration, which posted 115% gains by July 2001.
The market’s rally has been driven by President Tinubu’s economic reform agenda, including fuel subsidy removal and foreign exchange unification, which have earned praise from global institutions and the investment community.
Other factors contributing to the market’s performance include the Central Bank of Nigeria’s (CBN) bank recapitalization drive, increased liquidity, and high interest rates. Local institutional and retail investors have driven much of the recent rally, while foreign portfolio investors remain cautious.
The market’s expansion has also been fueled by strong gains in key sectors, including banking, agriculture, industrials, and oil & gas. Analysts expect the market to continue its upward trend, with potential listings like Dangote Fertilizer and NNPC IPO providing further momentum.
While the stock market’s performance is notable, concerns remain about the disconnect between the market’s returns and the daily realities faced by most Nigerians.
