NGX Gains 50% in 2026 as Energy Sector Surges 111%

The Nigerian Exchange All-Share Index has gained approximately 50 per cent year-to-date in 2026, with the energy sector delivering the strongest sectoral performance at 111 per cent growth, cementing Nigeria’s position as Africa’s best-performing major equity market for the year, according to data from Nairametrics published this week.

The NGX’s strong performance in 2026 builds on an exceptional 2025 in which the All-Share Index delivered a 51.19 per cent annual return, outpacing the S&P 500, the FTSE 100, and most emerging market peers. The current year’s rally has been driven by a combination of naira appreciation, foreign portfolio inflows, improved macroeconomic fundamentals, and sector-specific growth in energy companies whose valuations have surged alongside the Dangote Refinery’s growing output.

Energy Sector Powers the Rally

The energy sector’s 111 per cent gain reflects the transformative impact of domestic refining on the valuations of related listed companies, including downstream distributors, petroleum marketing companies, and upstream producers. The Dangote Refinery’s ramp-up has reshaped the sector’s earnings outlook, with fuel import substitution reducing foreign exchange pressures and improving margins across the supply chain.

However, the NGX All-Share Index experienced some recent softening. Trading data from June 18 showed the index shedding 3,397.8 points to close at 237,404.92, with market capitalisation falling to N152.27 trillion as profit-taking activities weighed on several heavyweight counters. Market breadth was negative, with 41 stocks declining against 20 gainers in that session.

Longer-Term Outlook Remains Positive

Still, analysts said the weekly and monthly trends pointed to a broader bull market interrupted by occasional consolidation rather than a trend reversal. Notably, the NGX had crossed the historic N100 trillion market capitalisation mark earlier in 2026, a milestone President Tinubu publicly celebrated as a signal of investor confidence in Nigeria’s economic management. Consequently, the 2026 equity market story in Nigeria is one of sustained outperformance tempered by the real challenges of insecurity and inflation that continue to affect business confidence at the operational level.