In 6 Months Foreign Investors Withdraw N116.72bn

The Nigerian Exchange Limited has said that foreign investors in the equities market withdrew a total of $116.72billion from January to June 2021.

According to the NGX Domestic & Foreign Portfolio Investment Report for June 2021, foreign investors invested a total of N105.24billion in the market.

This  represents a year-on-year drop by 57.44 percent from N247.27billion recorded in the corresponding period of 2020.

However, the investors took out N116.72billion amounting to a 75.78 percent decrease from N481.93billion in the corresponding period of 2020.

As foreign investors withdrew more gains from the exchange than they put in as of June 30, the Net Foreign Portfolio Investment value which is foreign inflows less outflows stood at -N11.48 billion.

NGX revealed in the report that foreign transactions in the NGX over 14 years increased by 18.45 percent.

This is from N616 Billion in 2007 to N729 billion as of 2020.

The NGX said, “As at 30 June 2021, total transactions at the nation’s bourse increased by 3.68 per cent from N97.19bn (about $236.33m) in May 2021 to N100.77bn (about $244.88m) in June 2021.

“The performance of the current month when compared to the performance in June 2020 (N128.88bn) revealed that total transactions decreased by 21.81 per cent.

“In June 2021, the total value of transactions executed by domestic investors outperformed transactions executed by foreign investors by circa 54 per cent.

“A further analysis of the total transactions executed between the current and prior month (May 2021) revealed that total domestic transactions increased by 0.59 per cent from N76.90bn in May to N77.35bn in June 2021. “Similarly, total foreign transactions increased by 15.43 per cent from N20.29bn (about $49.33m) to N23.42bn (about $56.91m) between May 2021 and June 2021.”