Nigeria’s stock market has been ranked as the third-highest in Africa by the number of listed companies, according to the Organisation of Economic Co-operation and Development (OECD).
The Nigerian Exchange (NGX) hosts 156 listed firms, trailing behind Egypt’s Egyptian Stock Exchange, which has 245, and South Africa’s Johannesburg Stock Exchange with 204. According to OECD’s Africa Markets Report 2025, NGX also has a market capitalisation of 33 billion dollars.
“South Africa has the most developed public equity market, accounting for 60% of the region’s market capitalisation. Its market capitalisation to GDP ratio (84%) is not only significantly higher than that of other African countries but also exceeds that of EMs, which stands at 61%,” OECD stated in the report.
“At the country level, only a few markets stand out in terms of size and activity. In addition, the median size of South African listed companies is markedly larger compared to the figure for EMs and globally, with a median market capitalisation of USD 195 million. Morocco, Egypt, and Nigeria also have relatively large markets, together accounting for 15% of the region’s market capitalisation. Together, these three markets represent almost half of all listed companies in Africa,” the Paris-based organisation added.
Other countries in the top ten include Mauritius with 94 listed companies, Tunisia with 79, Kenya with 61, Zimbabwe with 60, Cote d’Ivoire with 45, Ghana with 29, and Botswana with 23.
“In contrast, stock exchanges in Tanzania, Ghana, Botswana, Uganda, Zambia, and Namibia remain very small, each listing between 12 and 29 companies. Their market capitalisation is also modest, ranging from 5% to 20% of their respective GDPs,” OECD stated.
The data highlights the growing importance of the Nigerian Exchange as a regional investment hub. Home to sector giants such as banking, telecommunications, manufacturing, and energy, NGX provides a platform for blue-chip companies, including MTN Nigeria and BUA Foods, and has become a critical vehicle for domestic wealth creation and institutional investment.
As of early 2026, the market continues to show strong performance. Nigeria surpassed N100 trillion market capitalisation, closing at N101.8 trillion on January 5, 2026. Temi Popoola, group managing director and CEO of Nigerian Exchange Group (NGX), said the milestone “reflects the market’s growing depth, resilience, and capacity to respond positively to improving macroeconomic conditions and structural reforms.”
Popoola explained that the Group intends to sustain the current momentum by deepening market infrastructure, leveraging partnerships, and using technology to position Nigeria’s capital market as a leading destination for long-term investment in Africa.
Analysts also expect this momentum to continue. In a recent report, the Central Bank of Nigeria noted, “The capital market is expected to remain bullish in 2026, supported by recapitalisation exercise, rising investor confidence, and other policy measures aimed at fostering growth.”
The report further stated that several measures are expected to attract new entrants into the market. These include the technology strategy, collaborations between the NGX and the Federal Ministry of Industry, Trade & Investment, the zero per cent capital gains tax (CGT) for small businesses, and the N150 million exemption for retail investors. Increased trading activities have drawn more foreign portfolio inflows, reflecting growing confidence in the Nigerian market. Improved foreign exchange (FX) liquidity and regulatory clarity have also continued to strengthen foreign investor appetite.
Coronation Research analysts agreed with this outlook in their January 5 note to investors, saying, “We expect positive sentiment to persist in the near term as the new year opens, supported by portfolio rebalancing, bargain hunting in fundamentally strong names, and continued positioning ahead of full-year earnings releases and dividend announcements.”
United Capital research analysts, however, expect the market to be more selective in 2026. “The equity market is expected to remain positive but selective, supported by improving confidence and strong momentum in consumer goods, banking, and insurance stocks.” They added that gains are likely to be moderate as investors take profits after recent advances and await fresh catalysts.
