The Nigerian Exchange Limited (NGX) has reported total transactions amounting to N3.48 trillion year-to-date as of August 31, 2024. This information comes from the latest NGX domestic and foreign portfolio investment report released on Wednesday.
According to the report, domestic investors dominated the trading landscape, representing 81.14% of total transactions, while foreign investors accounted for 18.86%. The total value of domestic transactions reached N2.82 trillion, compared to N655.47 billion for foreign transactions.
In August, the exchange experienced a significant decline in total transactions, falling by 22.80% from N491.61 billion in July to N379.52 billion. However, a year-on-year comparison indicates a robust 44.55% increase in total transactions, rising from N262.56 billion recorded in August 2023.
Further analysis reveals that domestic transactions for August totaled N322.05 billion, marking a 25.81% decrease from July’s N434.09 billion. Foreign transactions experienced a marginal decline of 0.09%, dropping from N57.52 billion in July to N57.47 billion in August.
Retail investors led the domestic transactions in August with N180.72 billion, despite a 33.54% decrease from the previous month’s N271.92 billion. Institutional investors contributed N141.33 billion, a 12.85% decline from N162.17 billion in July.
Over the past 17 years, domestic transactions have witnessed a decline of 10.94%, decreasing from N3.56 trillion in 2007 to N3.17 trillion in 2023. Similarly, foreign transactions dropped by 33.28%, from N616 billion to N411 billion during the same period.
In 2023, domestic investors accounted for approximately 89% of total transactions, while foreign investors constituted about 11%. The stock market recorded a cumulative N2.5 trillion in domestic transactions for the first seven months of the year, reflecting a 27% increase compared to N1.968 trillion during the same timeframe last year. From January to July 2024, domestic transactions comprised 80.68% of market activity, with foreign transactions making up 19.32%.
