Domestic, Foreign Portfolio Transactions Valued at N346.23bn In April

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Nigerian Exchange Limited (NGX) has stated that the total domestic and foreign portfolio transactions in Nigeria’s equity market amounted to N346.23 billion in April 2024.

This was revealed in the latest Domestic and Foreign Portfolio Investment Report of NGX. Every month, NGX polls trading figures from market operators on their Domestic and Foreign Portfolio Investment (FPI) flows.

As of April 30, 2024, total transactions at the nation’s bourse decreased by 35.71 per cent from N538.54 billion (about $404.69 million) in March 2024 to N346.23 billion (about $260.24 million) in April 2024. The performance of the current month when compared to the performance in April 2023 (N191.21 billion) revealed that total transactions increased significantly by 81.07 per cent.

In April 2024, the total value of transactions executed by Domestic Investors outperformed transactions executed by Foreign Investors by circa 30 per cent.

A further analysis of the total transactions executed between the current and prior month (March 2024) revealed that total domestic transactions decreased by 49.27 per cent from N444.28 billion in March to N225.40 billion in April 2024.

However, total foreign transactions increased by 28.19 per cent from N94.26 billion (about $70.83 million) to N120.83 billion (about $90.83 million) between March 2024 and April 2024.

Also, Institutional Investors outperformed Retail Investors by 10 per cent. A comparison of domestic transactions in the current and prior month (March 2024) revealed that retail transactions decreased by 54.89 per cent from N223.37 billion in March to N100.77 billion in April 2024. Similarly, the institutional composition of the domestic market decreased by 43.58 per cent from N220.91 billion in March 2024 to N124.63 billion in April 2024.

On historical analysis of domestic and foreign transactions, the report stated that “Over 16 years, domestic transactions decreased by 10.94per cent from N3.556 trillion in 2007 to N3.167 trillion in 2023; whilst foreign transactions also decreased by 33.28 per cent from N616billion to N411billion over the same period.

“Total domestic transactions accounted for about 89 per cent of the total transactions carried out in 2023, whilst foreign transactions accounted for about 11 per cent of the total transactions in the same period.

“The transaction data for 2024 shows that total domestic transactions are circa N1.560 trillion, whilst total foreign transactions are circa N334.01 billion.”