A heavy wave of profit-taking and technical price adjustments dragged the Nigerian Exchange Limited into negative territory during the week ended 19 June 2026, forcing a 3.59 per cent contraction in the benchmark All-Share Index to close at 235,941.27 points, JIDE AJIA reports.

This broad market retreat saw total Market Capitalisation slide to N151.327tn, tightening equity market liquidity despite a surge in gross transaction value to N254.614bn.

While a steep 10.49 per cent plunge in banking equities and heavy dividend markdowns on market bellwethers depressed index metrics, trading remained heavily concentrated within the financial services sector, which accounted for 67.44 per cent of the aggregate volume traded.

A pervasive bearish wave swept across the local bourse during the week under review, wiping billions off equity valuations and contracting market liquidity despite a late-week surge in gross transactional value.

The benchmark NGX All-Share Index and total Market Capitalisation depreciated by 3.59 per cent to close the week at 235,941.27 points and N151.327tn, respectively.

The performance reflected widespread portfolio rebalancing, profit-taking and significant price adjustments for heavyweight stocks that were marked down for dividends during the week.

Financials dominate

Market indicators revealed a tightening of aggregate liquidity as total trading volume plunged significantly.

Investors traded a total turnover of 3.075bn shares valued at N254.614bn in 287,157 deals.

This stands in contrast to a total of 4.964bn shares valued at N207.521bn that exchanged hands in the previous week in 235,966 deals.

As has become the standard on the trading floor, the Financial Services Industry led the activity chart by volume, with 2.074bn shares valued at N64.490bn traded in 121,981 deals.

The sector alone contributed 67.44 per cent and 25.33 per cent to the total equity turnover volume and value, respectively.

The Services Industry followed in second place with 175.743m shares worth N2.759bn in 19,590 deals.

The Consumer Goods Industry completed the top three spots, recording a turnover of 133.375m shares worth N12.680bn in 30,730 deals.

Among individual equities, trading in the top three volume leaders, Access Holdings Plc, Sterling Financial Holdings Company Plc and Jaiz Bank Plc, accounted for 819.234m shares worth N12.247bn in 21,809 deals.

Together, they contributed 26.64 per cent to the total weekly equity turnover volume.

Banking indices plunge

The bear run was felt uniformly across almost all sectors, as nearly all tracking indices finished lower, save for the NGX Sovereign Bond Index, which closed flat.

A deeper look at the sectoral metrics showed that the NGX Banking Index suffered a massive hit, plummeting by 10.49 per cent to close at 2,058.07 points.

Similarly, the NGX AFR Dividend Yield Index recorded the week’s steepest drop, crashing by 14.57 per cent to close at 30,847.23 points, heavily weighed down by stocks shedding their dividend values upon qualification dates.

Market breadth remained firmly negative throughout the week under review, with only 11 equities appreciating, lower than the 40 gainers recorded in the previous week.

Conversely, 78 equities depreciated in price compared to 53 in the prior period, while 57 equities remained unchanged.

Cornerstone Insurance Plc emerged as the top price gainer for the week, rising by 11.01 per cent to close at N6.05 per share.

It was followed by Academy Press Plc, which gained 8.72 per cent to close at N8.10, and Conoil Plc, which ticked up 8.25 per cent to end at N210.00.

On the flip side, International Energy Insurance Plc led the decliners, crashing by 28.83 per cent to close at N5.06.

Blue-chip financial entity First Holdco Plc also took a substantial hit, sliding by 20.29 per cent to close at N55.00, while John Holt Plc fell by 17.65 per cent to end the week at N11.20.

Dividends, listings, suspensions

The market’s benchmark downward pull was partially expected due to key price adjustments implemented by the Exchange during the week.

High-priced tickers were marked down for cash dividends, including Airtel Africa Plc, which was adjusted by N58.58 to an ex-dividend price of N3,962.62, and Dangote Cement Plc, which was adjusted by N45.00 to close at N1,110.00.

Other notable ex-dividend adjustments included Ecobank Transnational Incorporated Plc, which had a N2.18 markdown, UACN Plc with a N1.00 markdown, and FCMB Group Plc with a N0.35 markdown.

In corporate governance news, the Exchange implemented a full trading suspension on the shares of Fortis Global Insurance Plc effective Wednesday, 17 June 2026.

The regulatory freeze was enacted to enable the company’s registrars and the Central Securities and Clearing System Plc to reconcile records for a proposed share reconstruction framework and determine the final register of eligible shareholders.

Meanwhile, the NGX derivatives market recorded growth with the official listing of the NGX30Z6 and NGXPENSIONZ6 Futures Contracts on Monday, 15 June 2026.

The underlying index futures contracts are set to expire on 18 December 2026, providing institutional investors with a hedging mechanism against ongoing equity market volatility.

The Managing Director of the Federal Airports Authority of Nigeria, Olubunmi Kuku, has explained that the Federal Government’s decision to renegotiate the concession agreement for the Murtala Muhammed Airport Terminal II was aimed at restoring investor confidence, ensuring fairness and resolving years of disputes surrounding one of Nigeria’s most controversial public-private partnership projects in the aviation industry.

Speaking on the importance of successful PPP models in infrastructure development at the African Air Transport Convention and Expo 2026 in Togo, Kuku said the sustainability of such arrangements goes beyond access to capital and depends largely on institutional credibility, regulatory certainty and project discipline.

According to Kuku, who spoke on the second day of the event during a panel discussion titled, “Strategic Direction on Aviation Financing and Infrastructure Development,” the current administration undertook extensive efforts to renegotiate the concession agreement, a process that has now been concluded and approved by the Federal Executive Council.

She said, “A lot of the challenges that we have seen are really around project continuity and market risks. If you look at the Nigerian example, one of the most talked-about concession projects has been the Bi-Courtney MM2 project, and it has generated a lot of noise and conflict over the years.

“I’m happy to say that within this administration, we’ve done quite a bit of work in renegotiating the contract for the concession. It’s now been resolved. It’s now been resolved at the Federal Executive Council level.”

She noted that the resolution would strengthen investor confidence in Nigeria’s infrastructure sector and serve as a framework for future concession agreements. “What that means is that it provides better investor confidence for those looking to drive PPP projects. More importantly, it ensures that future concession contracts are fair to both government and the private sector,” she added.

Kuku stressed the need for greater clarity in the management and administration of concession arrangements to prevent future disputes and improve project delivery.

Looking beyond the MM2 concession, the FAAN boss called for stronger regional commitments to infrastructure financing, particularly in aviation connectivity and transport integration.

She advocated the establishment of national aviation delivery teams that would bring together stakeholders across aviation, security, transportation and government agencies to coordinate major infrastructure projects.

“Aviation spans several sectors, from security and interior administration to transportation. Bringing all stakeholders together allows for clear collaboration around infrastructure investments and ensures the right decisions are made by the right people,” she said.

Kuku also cautioned against creating new aviation-focused financing institutions, arguing that existing financial institutions should instead develop specialised aviation desks capable of understanding industry-specific needs and supporting the development of bankable projects.

“I strongly do not support setting up new financing institutions. I’d rather the existing institutions establish specialised desks to understand the aviation environment and provide technical support for project preparation,” she said.

According to her, stronger collaboration between project promoters and financiers would improve access to funding and enhance project execution across the sector. She further emphasised the importance of commitment from both project developers and financiers, urging stakeholders to present viable projects while ensuring transparency around available financing instruments.

Citing an example, Kuku pointed to plans to extend the Lagos Red Rail Line to airport terminals, noting that opportunities exist for co-financing arrangements supported by airport-generated cash flows.

“We do have a rail project, an extension of the Red Line from Lagos into our terminals. There are opportunities for us to potentially co-finance because we have the cash flows to support that,” she said.

The FAAN chief maintained that stronger partnerships, better contract management and coordinated infrastructure planning would be critical to unlocking long-term growth in Nigeria’s aviation sector.

The Ministries, Departments and Agencies of the Federal Government have spent N11.85bn on fuel for motor vehicles and generators between January and April 2026, as elevated domestic petrol prices and renewed Iran-US tensions continue to raise concerns over energy costs and global oil market stability.

An analysis of data obtained from the Open Treasury Portal by The PUNCH showed that the amount represented a 113.4 per cent increase from the N5.55bn spent on the same items in the corresponding period of 2025.

The Open Treasury Portal is the Federal Government’s public financial transparency platform, which publishes budget implementation, payment and fiscal data of ministries, departments and agencies to improve accountability in public spending.

While the Open Treasury Portal does not disclose a detailed breakdown by ministry, department or agency under the expenditure category, the figures represent fuel and related operating costs incurred by Federal Government entities financed from the federal budget.

The data showed that motor vehicle fuel cost rose by 108.2 per cent from N3.17bn in the first four months of 2025 to N6.60bn in the same period of 2026.

In April 2026 alone, the government spent N2.94bn on motor vehicle fuel, compared with N1.73bn in April 2025. The approved budget for motor vehicle fuel also increased from N122.63bn in 2025 to N207.37bn in 2026, indicating an increase of N84.74bn or 69.1 per cent.

Despite the rise, only 3.18 per cent of the 2026 motor vehicle fuel budget had been spent as of April, leaving a balance of N200.77bn. Spending on plant and generator fuel also rose sharply from N2.38bn in the first four months of 2025 to N5.24bn in the same period of 2026, representing an increase of N2.86bn or 120.3 per cent.

The April actual spending on generator fuel stood at N2.99bn in 2026, compared with N1.37bn in April 2025. The budget for plant and generator fuel increased from N104.40bn in 2025 to N185.80bn in 2026, while execution stood at 2.82 per cent as of April.

Combined, the 2026 budget for vehicle and generator fuel stood at N393.18bn, compared with N227.02bn in 2025. This means the allocation rose by N166.15bn or 73.2 per cent year-on-year.

Although Nigeria is a crude oil producer, higher global crude prices often feed into domestic petrol costs because the downstream market is largely deregulated and petrol prices now respond more directly to landing costs, refining margins and exchange rate pressures.

The implication is that ministries, departments and agencies may face higher operating costs if petrol prices remain elevated, especially for transportation, power generation and field operations.

Beyond vehicle and generator fuel, other fuel-related spending also rose significantly in 2026. The government spent N2.25bn on other transport equipment fuel in the first four months of 2026, compared with just N92.07m in the same period of 2025. Aircraft fuel cost also rose from N702.30m to N8.01bn, while sea boat fuel increased from N1.50bn to N8.76bn.

Cooking gas and fuel costs rose from N47.88m in the first four months of 2025 to N104.65m in the corresponding period of 2026. Altogether, spending on other transport equipment fuel, aircraft fuel, sea boat fuel, and cooking gas rose from N2.35bn in 2025 to N19.13bn in 2026, an increase of N16.78bn or 715.5 per cent.

Sea boat fuel recorded the highest budget execution rate among the listed fuel items at 8.02 per cent, followed by aircraft fuel at 4.55 per cent and other transport equipment fuel at 4.40 per cent.

The data further showed that the Federal Government spent N4.39bn on the maintenance of motor vehicles, transport equipment, plants and generators in the first four months of 2026. This was 164.1 per cent higher than the N1.66bn spent on the same items in the corresponding period of 2025.

Maintenance of motor vehicles and transport equipment gulped N3.04bn between January and April 2026, compared with N1.20bn in the same period of 2025. Maintenance of plants and generators also rose from N459.16m in 2025 to N1.35bn in 2026. The total 2026 budget for both maintenance items stood at N182.33bn, with N177.94bn still unspent as of April.

The sharp rise in fuel and maintenance costs underlines the pressure of high energy prices on government operations, even as public finance remains strained by debt service, security spending and rising personnel obligations.

It also raises fresh questions about the cost of running government agencies in an economy where electricity supply remains unreliable, and many public institutions still depend heavily on petrol and diesel-powered generators.

When the geopolitical tensions in the Middle East started, the Federal Government ruled out intervening to control petrol prices. The immediate past Minister of Finance, Wale Edun, said the government would not tamper with market-based pricing of petroleum products, stressing that intervention would only be considered as a last resort.

He explained that the current administration’s economic philosophy prioritises market-based pricing mechanisms for petroleum products and foreign exchange, describing them as key reforms introduced by President Bola Tinubu to remove long-standing distortions in the economy.

Edun noted that while the Middle East crisis could affect global oil markets, the government would respond through targeted policy measures rather than price controls.

Official data from the National Bureau of Statistics showed that Nigeria’s average petrol price surged by 45.8 per cent between February and April 2026, rising from N1,051.47 to N1,532.93 per litre as escalating US-Iran tensions pushed crude prices higher and filtered through to the deregulated domestic fuel market.

Industry experts, financiers, and policymakers recently called for accelerated adoption of electric vehicles in Nigeria as rising fuel prices continue to squeeze household incomes and business margins.

They noted that persistent increases in petrol prices are forcing a shift in how Nigerians approach transportation, with electric vehicles emerging as a more cost-effective alternative.

A Business Development and Strategy Manager for the Presidential Initiative on Compressed Natural Gas and Electric Vehicles, Omolara Obileye, said the financial advantage of EVs has become increasingly clear.

“Today, charging an electric vehicle for a 200-kilometre journey would cost approximately N4,500. The same journey on petrol would cost about N22,500. That represents a five-to-one cost advantage in favour of electric vehicles,” she said.

She explained that the government’s approach is focused on a gradual transition to a more sustainable energy mix. “What we are navigating is not a choice between CNG and EVs. It is a deliberate, phased energy transition. The goal is a balanced energy mix: one that serves Nigerians today while building the infrastructure required for tomorrow,” she said.

Despite growing interest, she acknowledged that infrastructure gaps, power supply challenges, and affordability concerns remain key barriers. “What we need now is visible momentum, driven by all the stakeholders represented here today,” she added.

Chief Executive Officer of Blue Camel Energy Ltd, Yusuf Suleiman, said the transition presents an opportunity to strengthen Nigeria’s economic resilience. “It is a pathway to improved energy access, a driver of industrialisation, and a foundation for economic resilience, reducing our dependence on imported fossil fuels,” he said.

He noted that the company is investing in solar-powered charging infrastructure to reduce reliance on the national grid. “In reality, charging infrastructure must be able to operate independently of the national grid. What this proves is that a 100 per cent solar-powered charging system can work as a business model,” he said.

For operators, the shift is already being driven by cost savings. Chief Operating Officer of Bankrol Camel EV, Ahmed Garba-Ahmed, said electric vehicles offer a significant reduction in operating expenses.

“Electric vehicles can reduce energy costs per kilometre by up to 60 per cent… For commercial users, ride-hailing drivers, fleet operators, and logistics companies, this is not just about sustainability. It is about margins. It is about profitability. It is about survival,” he said.

He added that the transition is already underway across segments of the transport sector. “The transition to electric mobility in Nigeria is no longer a future projection; it is already happening. The question is not if, but how fast, and who leads,” he said.

The PUNCH recently reported that renewable energy stakeholders intensified calls for the widespread adoption of solar generators in Nigeria, describing the technology as a practical and cost-effective alternative to the millions of petrol and diesel generators powering homes and businesses across the country.

The push formed the basis of discussions ahead of the inaugural Nigeria Solar Generator Day, where policymakers, investors, renewable energy firms and development partners are expected to explore ways of accelerating the deployment of solar-powered systems nationwide.