Nigeria Digest: July 21, 2025

Nigeria's stock market has achieved a 27.84% year-to-date return, ranking it among Africa's top six performers, driven by government reforms and economic initiatives.

The Nigerian stock market gained N3.4 trillion in one week, driven by anticipation of strong corporate earnings in the first half of the year.

Lafarge Africa reported record Q2 revenue of N269 billion, with a 153% increase in operating profit and N84.03 billion in profit after tax, driven by strategic operations.

Analysts warn that inflation may rise again despite a three-month decline, citing natural disasters and insecurity in key food-producing states.

Stakeholders have urged the harmonization of taxes to avoid duplication, emphasizing the need for synergy among government agencies and capacity building for public officials.

Trade between Nigeria and Egypt reached $315 million in 2024, with calls for increased collaboration to meet the D-8 Organization's $500 billion target by 2030.

Recent easing of global trade tensions, spurred by the US administration pausing planned tariff increases, has boosted the Nigerian foreign exchange market. While investors remain uncertain about the long-term impact on Chinese A-shares, the current market confidence, driven by fewer global uncertainties, is attracting foreign portfolio investors.

South Africa faces a potential growth in its informal sector while Nigeria needs to transition a large portion of its informal workers to formal employment. Experts suggest embracing the potential of informality without hindering efforts to secure economic resilience.

Nigeria's mutual fund industry experienced significant growth in the first half of 2025, attracting nearly N1.99 trillion in investment. This surge was particularly pronounced in money market and dollar funds, demonstrating investor trust in collective investment schemes for wealth preservation and moderate growth.