Daniel Wesonga

Nigerian equities remain on firm footing, with the NGX All Share Index approaching the 122,000-point threshold after closing Wednesday at 121,989.67, a gain of 0.28%. The advance was driven by strong performances in electronic technology and producer manufacturing, which rose 8.33% and 7.33% respectively, while consumer durables added 4.44%. Market breadth was broadly positive, with 11 of 20 sectors closing in the green, while losses were contained to commercial services, technology services, consumer non-durables, and energy minerals.

Among large-cap names, BUA Foods, MTN Nigeria Communications, Dangote Cement, and BUA Cement remained unchanged, while Guaranty Trust, Zenith Bank, and Nigerian Breweries recorded notable gains. Activity in the corporate debt market continues to strengthen, with Champion Breweries launching a NGN 10 billion commercial paper issuance and Fidson Healthcare offering NGN 20 billion under its programme. Separately, Sunbeth Energies’ distribution agreement with Dangote Petroleum Refinery strengthens downstream logistics.

Meanwhile, market participants await the imminent release of Nigeria’s Q1 2025 GDP figures. The previous quarter recorded 3.84% year-on-year growth, the highest since Q4 2021, driven by a 5.37% expansion in services, which comprise over half of GDP. However, the external backdrop remains uncertain, with escalating U.S. tariffs on BRICS-aligned countries, including Nigeria, posing risks to export diversification. Overall, the equity market outlook remains positive, with domestic reforms and broad-based sectoral strength providing a foundation for further upside potential.

Wesonga is Senior Sales Manager at Pepperstone