Recent fiscal and monetary changes have rekindled hope for a brighter economic climate in Nigeria, with foreign portfolio investors retaining more funds in the market. Total foreign transactions rose by 70.1 per cent in the second quarter of 2023, driven by a 197.5 per cent increase in inflows. The Nigerian Stock Exchange (NGX) reported that the positive market performance came "amid the bounce of a new administration and raft of changes in government policies." Retail domestic transactions increased by 40.70 per cent from N88.50 billion in May to N124.52 billion in June 2023, showing that more individual Nigerians were optimistic about the economy despite the immediate challenges that greeted major policy changes. The institutional composition of the domestic market increased by 19.9% from N197.26 billion in May 2023 to N236.49 billion in June 2023. Market analysts unanimously agreed that the stock market performance has been in response to President Bola Tinubu's policy direction, with a consensus that the direction would significantly uplift the economy and drive foreign and domestic investments in Nigerian assets.The total foreign transactions in the first four months of 2023 stood at N62.18 billion, owing to soaring inflation, prolonged foreign exchange scarcity, and uncertainties building up to the 2023 elections. The Nigerian stock market launched into a major rally on the first trading day after Tinubu's inaugural address, with net capital gains totaling N1.51 trillion, its highest gain in a day in two and a half years.
Index to Nigerian Newspapers
