Nigeria’s stock market is making a strong return after a tough few years, and the numbers are now hard to ignore. According to Bloomberg, Nigerian equities are delivering the second-highest dollar-denominated returns worldwide in 2026, with gains of about 31 per cent so far this year.
This rise has helped the market recover roughly $21 billion in value that was lost after the sharp naira adjustment in 2024. The total market value of companies listed on the Nigerian Exchange now stands at about $84 billion, which is nearly 60 per cent higher than levels before the currency reset.
Bloomberg data shows that Nigeria’s benchmark stock index has outperformed both emerging and frontier markets by a wide margin. While the main emerging-market index is up around 11 per cent this year, and frontier markets have gained about 6 per cent, Nigeria’s market has surged far ahead.
The rally is being supported by real improvements in company performance. Many firms that were hurt by the weaker naira have restructured their operations, adjusted pricing, and returned to profit. Analysts say investors are now buying Nigerian stocks based on growth expectations, not just short-term recovery.
Currency movements have also played a key role as Bloomberg reports that the naira has risen by more than 7 per cent against the US dollar in 2026, making it the second-best performing currency globally among those tracked. For foreign investors, this has reduced exchange-rate risk and boosted dollar returns.
Data from the Nigerian Exchange Group shows that non-Nigerian investors traded about ₦2.65 trillion worth of equities in 2025, nearly three times the ₦852 billion recorded the previous year. This represents the highest level of foreign equity trading in almost 19 years.
According to market estimates cited by Bloomberg, potential listings of Aliko Dangote’s refinery and fertiliser businesses could lift the market’s total value beyond $100 billion. Some analysts believe this could deliver additional gains of up to 34 per cent if the listings materialise.
Bloomberg notes that the market’s recovery is closely linked to wider economic reforms, especially the government’s move to unify and liberalise the foreign-exchange market. While the policy initially caused volatility, it has improved transparency and helped attract fresh investment.
For investors searching for markets with improving fundamentals and strong returns, Nigeria is increasingly being viewed as a serious option and no longer just a rebound trade, but a market benefiting from clearer policies, stronger companies, and rising global interest.
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