Despite global unrest, Nigeria’s market remains insulated, with banking, consumer goods, and the upcoming Dangote Refinery listing driving optimism.
Prof. Uche Uwaleke, President of the Capital Market Academics of Nigeria (CMAN), says the stock market is likely to remain resilient in Q2 2026 despite the US-Israel-Iran crisis. He told NAN in Abuja that the market’s domestic orientation and the dominance of local investors shield it from global shocks.
Key drivers include post-recapitalisation gains in Tier-1 banks, strong earnings in consumer goods and industrial stocks, and energy sector opportunities, especially with the anticipated listing of the Dangote Refinery by the end of Q3. Retail investors are expected to favour fundamentally strong companies with consistent dividends.
Uwaleke noted that Q1 gains were supported by stable macroeconomic fundamentals, policy reforms on foreign exchange by the Central Bank of Nigeria, improved corporate earnings, and gross external reserves now around $50 billion.
He cautioned that potential risks remain, including profit-taking, inflation surprises, and global uncertainties, but overall the market outlook remains constructive.
On the T+1 settlement cycle transition set for May 29, Uwaleke said the market is well-prepared thanks to upgraded trading platforms, clearing systems, and capacity building by market operators and regulators.
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