Foreign Portfolio Investors are net sellers on the NSE in May 2015

Lagos, Nigeria (Capital Markets in Africa) — Foreign Portfolio Investor (FPI) transactions at the Nigerian bourse decreased to N79.77 billion (about US$ 0.41 billion) in May 2015, down 23.26% from April 2015, amid uncertainity in the fiscal policy direction of the new government, resulting from delays in the appointment of key Ministers. Also, the recent currency control policy by the Central Bank of Nigeria to defend the local currency to preserve the foreign reserves. The local investors conceded about 9.68% of trading to foreign investors as domestic transactions decreased from 49.75% to 45.16% while FPI transactions increased from 50.25% to 54.84% over the same period. Overall, the total transactions decreased by 29.69% from N206.86 billion in April to N145.45 billion in May and foreign portfolio investors’ inflows accounted for 26.12% of total transactions while the outflows accounted for 28.72% of the total transactions in May 2015. In comparison to the same period in 2014, total FPI transactions decreased by 13.16%, whilst the total domestic transactions decreased by 40.16%. FPI outflows outpaced inflows which was consistent with the same period in 2014. Overall, there was a 27.86% decrease in total transactions in comparison to the same period in 2014. NSE Analysis of Transactions Please read more at Domestic and FPI Report May 2015

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