The Securities and Exchange Commission (SEC) has said Nigeria’s banking sector recapitalisation exercise triggered a massive ₦29.83 trillion wealth creation in the equity market within the first 90 days of 2026, underscoring the catalytic role of the programme in deepening the nation’s capital market.

In a policy briefing on the recapitalisation exercise, the commission disclosed that equity market capitalisation rose from ₦99.38 trillion at the close of 2025 to ₦129.21 trillion by March 31, 2026.

According to the SEC, the Nigerian Exchange All Share Index (NGX ASI) also surged from 155,613 points at the end of 2025 to a historic high of 201,287.78 points by the end of the first quarter of 2026, representing a 29.35 percent gain within three months.

The commission noted that investor confidence strengthened as the March 31 deadline for banks to meet new minimum capital requirements approached, with optimism driven by the prospect of a fully recapitalised banking system.

It added that February 2026 alone delivered a market capitalisation gain of ₦17.6 trillion, the highest single-month increase ever recorded in the history of the Nigerian stock market.

SEC said the market also demonstrated resilience, despite the extraordinary volume of fresh equity supply introduced through public offers and rights issues by banks.

“The Nigerian equity market demonstrated reasonable price discovery throughout the recapitalisation period,” the commission stated.

It explained that while the NGX Banking Index initially declined in mid-2024 as investors priced in dilution risks from anticipated large rights issues, the sector later rebounded strongly as capital was successfully raised and market participants reassessed the stronger balance sheets and expanded lending capacity of recapitalised institutions.

According to the regulator, the market’s ability to manage valuation complexities in real time reflected growing analytical sophistication among institutional investors, stronger broker research, wider analyst coverage, and improved real-time data systems.

Beyond the stock market rally, SEC said the banking recapitalisation had created broader structural benefits across the capital market ecosystem.

It is estimated that about 500,000 new investors participated in various bank public offers between 2024 and 2026, many of them first-time equity investors.

The commission said a significant number of these investors were expected to remain active in the secondary market and future public offerings, thereby deepening market liquidity and broadening the investor base.

It also noted that the exercise rebuilt institutional capacity across investment banks, stock broking firms, registrars, custodians and issuing houses, which handled unprecedented transaction volumes during the recapitalisation process.

According to the Commission, the expertise developed from managing large-scale capital raises would remain a valuable resource for future financing exercises in both the public and private sectors.

SEC further disclosed that the capital market mobilised ₦4.65 trillion over the 24-month recapitalisation period, describing the outcome as proof that Nigeria’s market infrastructure, investor community and regulatory framework are capable of supporting large-scale national transformation.

Director-General of SEC, Dr. Emomotimi Agama, said the recapitalisation exercise should be seen not as an isolated success, but as the foundation for a stronger financial market capable of financing Nigeria’s long-term development.

“The recapitalisation has demonstrated that the Nigerian capital market is resilient. It is the Commission’s unwavering determination to ensure that resilience becomes transformation,” he said.

He added that the story of the ₦4.65 trillion raised should be remembered not as a peak achievement, but as the beginning of a more consequential era in which the capital market plays a central role in financing the nation’s future.

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