Foreign Investors Pullback as Transactions’ Value Dip by 8.5% in August

The total value of transactions carried out on the Nigerian Stock Exchange (NSE) in the month of August stood at N94.5 billion or US$244.27 million, representing a decline of 8.49 percent from N103.21 billion or $265.55 million posted in July.

In the NSE’s Domestic and Foreign Portfolio Investment report released for the month of August, total transactions decreased by 22.58 percent when compared to N121.99 billion achieved in August 2019.

The report noted that the total transactions executed by domestic investors decreased by 19.16 percent from N68.62 billion in July to N55.47 billion in the month of August 2020.

However, foreign transactions rose by 12.69 percent to N38.98 billion, up from N34.59 billion posted in July.

A further breakdown of the report showed the total value of transactions executed by local investors outperformed transactions carried out by their foreign counterparts by 18 percent.

Accordingly, domestic investors’ participation stood 59 percent while foreign investors account for 41 percent of all the transactions performed during the month.

Also, the total capital inflow from domestic investors stood at N29.49 billion in the month under review while foreign investors injected N17.66 billion into the bourse.

Domestic investors withdrew N25.98 billion in August, more than the N21.32 billion withdrew by foreign investors.