2026: Analysts express optimism on Nigerian capital market outlook

Some financial analysts have expressed optimism about the outlook for the Nigerian capital market in 2026.

The analysts, in separate interviews with our correspondent on Tuesday, cited improved macroeconomic fundamentals and expected major listings as key drivers of market growth.

Mr Tajudeen Olayinka, an investment banker and stockbroker, said sustained improvement in key macroeconomic indicators would reflect positively on stock market performance.

“Once we continue to see improved performance in macroeconomic variables such as declining inflation, steady growth in Gross Domestic Product (GDP), a steady decline in unemployment and an improved balance of payments position, we can be assured that the market is doing well,” Olayinka said.

According to him, the capital market remains a reliable barometer of the economy, as its performance mirrors the overall health of economic activities.

“We can watch which sectors are delivering the best and most sustainable returns. For specific market indicators, investors should pay close attention to sectoral indices,” he said.

Olayinka recalled that the consumer goods sector recorded strong performance in 2015 due to significant recoveries from foreign exchange losses by listed companies.

He noted that policy direction would also play a crucial role in shaping market outcomes in 2026.

“The possible suspension of the implementation of capital gains tax could turn the market into a money field in 2026,” he said.

Also speaking, Mr David Adonri, Vice President of Highcap Securities Ltd., projected the capital market to be a profitable and liquid investment destination in the year.

“Improving macroeconomic fundamentals are expected to be the driving force of price appreciation,” Adonri said.

He noted that stability in the foreign exchange market would further support growth, while improvements in the rural economy would enhance investment outcomes.

“Foreign exchange stability will also work in favour of market growth. Restoration of firm order in the rural economy will be the icing on the cake for capital market investment,” he said.

Adonri emphasised that a conducive macroeconomic environment would strengthen corporate fundamentals and boost investor confidence.

“If the macroeconomic environment remains conducive, corporate fundamentals will be strong and this will boost investors’ confidence,” he said.

Adonri advised investors to watch out for potential major listings, noting that such developments would deepen the market.

“Investors should look out for the listing of major enterprises like Dangote refinery, fertiliser and petrochemicals companies, big tech firms, NNPC and others, which will remarkably increase investment opportunities in the capital market,” he said.