FGN Bond, Corporates, Others Contribute to N1.2trn New Listings in Q1 2026

Kayode Tokede

The Nigerian capital market ended the first quarter of 2026 on a strong footing, with fresh listings on the Nigerian Exchange Limited surging to N1.2 trillion in the period, driven largely by federal and subnational bond issuances and aggressive capital raising by corporates seeking to reposition for growth and regulatory compliance.

Data obtained by THISDAY from the Exchange showed that federal government bonds, including Sukuk instruments, accounted for N317 billion of the total, while Lagos State Government bonds contributed N244.8 billion, underscoring sustained public sector reliance on the market to finance infrastructure and budgetary obligations.

The real momentum, however, came from the corporate segment, where companies raised N642.7 billion, reflecting heightened activity by banks and manufacturing firms scrambling to meet the new minimum capital thresholds set by the Central Bank of Nigeria that ended in the review period as well as to fund expansion plans.

Among the standout issuances was the N300 billion FGN Roads Sukuk, alongside Presco’s N236.67 billion rights issue, both of which reinforced investor appetite for large-ticket offerings.

The Lagos State Government also returned to the market with a N230 billion 10-year bond and a N14.8 billion green bond, reflecting a growing tilt towards sustainable financing.

Banking sector recapitalisation remained a dominant theme in the quarter, with United Bank for Africa Plc, First HoldCo Plc and Guaranty Trust Holding Company Plc collectively accounting for N251.6 billion in new listings. 

GTCO alone raised N10 billion through a private placement, while UBA and First HoldCo recorded N157.8 billion and N83.7 billion, respectively, through rights issues and placements.

Outside the banking space, Dangote Cement Plc tapped the market with N119.9 billion in commercial paper issuances under its N500 billion programme, signalling deepening utilisation of short-term instruments following the introduction of the CP framework by the Exchange.

Other notable listings included LFZC Funding SPV Plc’s N16.1 billion infrastructure bond, alongside smaller issuances by Zichis Agro-Allied Industries Plc, Morison Industries Plc, NGN Gram Limited, and Chapel Hill Denham Management Limited, reflecting broad-based participation across sectors.

Commenting on the performance, Group Managing Director of NGX Group, Temi Popoola, said the Exchange was evolving beyond a traditional trading platform into a technology-driven capital mobilisation hub capable of supporting both public and private sector financing needs.

The Q1 performance builds on a strong 2025 outing, when listed banks raised about N2.25 trillion in response to the CBN’s recapitalisation directive. 

Analysts say the surge in bond subscriptions reflects investor confidence in government securities, buoyed by attractive yields and improving macroeconomic stability.

They also point to increased liquidity, stronger domestic participation, and a gradual return of foreign portfolio investors as key drivers of market resilience.

With the primary market posting a 29.35 per cent gain in the quarter and investor returns estimated at N29.83 trillion, market operators believe the Exchange is well-positioned to support the federal government’s ambitious $1 trillion economic target, provided policy consistency and investor confidence are sustained.