Debt securities account for most of the increase as foreign portfolio investment rises amid government efforts to attract capital…….
Nigeria’s portfolio investment rose to $6.51 billion in the second quarter of 2026, representing a 45 per cent increase from the $4.49 billion recorded in the preceding quarter, according to data from the Central Bank of Nigeria (CBN).
The CBN’s Q2 2026 statistical bulletin showed that portfolio investment increased by approximately $2.03 billion between March and June, reflecting stronger investment in Nigerian financial assets.
The latest figures indicate an increase from the $5.15 billion recorded in the corresponding period of 2025, representing year-on-year growth of about 26.5 per cent.
Debt securities accounted for the largest share of portfolio investment in the second quarter, rising to $4.97 billion from $4.28 billion in the first quarter.
Equity and investment fund shares also recorded an increase, although at a slower pace, climbing marginally to $1.54 billion from $1.53 billion over the same period.
The figures indicate that debt securities contributed most of the quarterly growth, while investment in equities and investment fund shares remained relatively stable.
Portfolio investment generally involves financial assets such as stocks and debt instruments, unlike foreign direct investment, which typically entails a lasting interest in a business and may include managerial influence.
Consequently, changes in portfolio investment can reflect shifts in investor appetite for financial securities and movements in financial-market positions.
Government steps up investment drive
The increase comes as the Federal Government intensifies efforts to attract domestic and foreign capital to support economic growth, create jobs and finance development projects.
Nigeria recently unveiled 65 investment projects requiring a combined $78.5 billion in capital at the IMF and World Bank meetings. The initiative is intended to present investment opportunities to potential investors and accelerate economic expansion.
In June 2026, the government also announced plans to establish a Nigeria Deal Room to help convert investment opportunities into bankable transactions and address regulatory bottlenecks that could delay projects.
The proposed platform is expected to improve investment mobilisation by connecting project opportunities with potential financiers and helping move viable proposals towards implementation.
These initiatives form part of broader efforts to increase private-sector participation in the economy and attract funding for projects across key sectors.
World Bank targets private financing
Development finance institutions are also supporting efforts to mobilise private capital for Nigeria.
The World Bank Group is working to mobilise up to $5.79 billion in private financing for Nigeria in fiscal year 2026, with the programmes expected to support approximately 850,000 direct and indirect jobs.
The financing initiative is intended to support economic activity and employment through investment in projects and businesses.
However, portfolio investment and project financing represent different forms of capital. Portfolio investment primarily covers holdings of financial assets, while project financing supports specific investments and development activities.
The latest increase in portfolio investment therefore signals stronger activity in Nigeria’s financial assets, although sustained investment will also depend on investor confidence, market conditions and the broader economic environment.
