FX trades drive FMDQ turnover to N60.77tn in January

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FMDQ Group recorded a massive total turnover of N60.77tn for the month of January as the Nigerian financial markets opened 2026 with a surge in liquidity.

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The performance, detailed in the 136th edition of the FMDQ Spotlight newsletter, underscores a market increasingly driven by foreign exchange activity and high-level institutional participation.

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Data reveals a market heavily weighted toward currency and short-term liquidity instruments. Foreign Exchange (Spot and Derivatives) remained the primary engine of growth, accounting for 31.81 per cent of the total turnover. Close behind was Repurchase Agreements, which contributed 23.15 per cent, while Open Market Operations Bills also saw significant action, recording over N19.33tn in turnover. In contrast, traditional FGN Bonds and Treasury Bills accounted for 7.48 per cent and 7.04 per cent of the market share, respectively.

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A major highlight of the period was the Lagos State Government’s landmark listing. The state approved the listing of a N14.82bn five-year 16.00 per cent Series 3 Fixed Rate Green Bond alongside a massive N230.00bn ten-year 16.25 per cent Series 4 Fixed Rate Bond.

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On the corporate front, Accion Microfinance Bank quoted a N2.02bn Commercial Paper to support small businesses, while other major players, including UAC of Nigeria PLC, Citibank Nigeria, and Johnvents Industries, successfully quoted CPs totalling over N100bn combined.

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The report highlighted the strategic direction of the Exchange and the dominant players within the ecosystem.

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Commenting on the performance, the Group Chief Operating Officer of FMDQ Group PLC, Ms Tumi Sekoni, stated, “Market activity remained steady in February 2026, supported by strong institutional participation and sustained operational efficiency. As the year progresses, we will continue to collaborate closely with our stakeholders to deepen market liquidity and promote sustainable market growth.”

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The report further noted that the top ten Dealing Member (banks) accounted for 72.85 per cent (N44.27tn) of the overall turnover, while the top three alone accounted for 52.97 per cent of the secondary market turnover recorded by the top ten.

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Regarding the state’s intervention, the report added, “FMDQ Exchange has approved the listing of Lagos State’s Green Bond… in a landmark demonstration of its steadfast commitment to advancing Nigeria’s debt capital markets and promoting sustainable finance.”

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The competitive landscape for January 2026 saw Stanbic IBTC Bank Limited, Coronation Merchant Bank Limited, and First Bank of Nigeria Limited emerge as the top three most active dealers. Their combined dominance reflects the highly concentrated nature of the Nigerian secondary market, where the top ten players continue to facilitate the vast majority of trade volumes.

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As FMDQ Clear and FMDQ Depository continue to stabilise clearing and settlement activities, the market appears poised for further expansion in the second quarter of 2026, particularly in the infrastructure and sustainable energy sectors.

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