Nigerian stocks fall an opportunity for investors to buy – NGX CEO

Nigeria’s recent stock market downturn should be seen as a buying opportunity rather than a crisis, according to Jude Chiemeka, Chief Executive Officer of the Nigerian Exchange Limited (NGX).

Speaking to BusinessDay, Chiemeka said the market’s sharp pullback, which wiped off about ₦2.8 trillion in capitalization last week, offers “timely re-entry points” for investors focused on long-term value creation.

“Periods like this remind us of the importance of diversification,” Chiemeka said. “A well-diversified portfolio—across equities, fixed income, and alternative assets—helps investors manage risk and capture opportunities as the market recalibrates. The recent pullback provides attractive re-entry points for those with a disciplined, long-term approach.”

Nigeria’s equities market ended the week of November 7 with the All-Share Index (ASI) falling 2.11% over the previous week to close at 149,524.83 points, according to NGX data. Market capitalization dropped to ₦94.9 trillion, from ₦97.7 trillion the previous week.

Analysts cited profit-taking, global uncertainty, and fiscal concerns — including the proposed 25% capital gains tax expected in 2026 — as drivers of the decline. But many agree the dip is a “healthy correction” after a long rally.

They say for long-term investors, it is a good time to reassess portfolios and look for quality stocks trading at a discount.

Recent sell-off followed political tremors after U.S. President Donald Trump’s comments on possible military action in Nigeria, which heightened investor anxiety and pushed the naira assets lower.

Still, Chiemeka emphasized that Nigeria’s macroeconomic fundamentals and ongoing capital market reforms remain intact. He said investors who stay disciplined and diversified will likely benefit from market stabilization and renewed foreign interest.

Data from the NGX shows that between January and September 2025, total equity transactions reached ₦8.54 trillion, with domestic investors accounting for 78% of trades, underscoring local resilience amid global volatility.

“The market is simply recalibrating,” Chiemeka said. “For investors with a long-term outlook, this is not the time to panic—it’s the time to position.”