Following the positive sentiment, the Nigerian Exchange Limited witnessed in 2023, shares of Airtel Africa Plc and MTN Nigeria Plc recorded a combined gain of 20.09% during the year.
This resulted in investors of the companies gaining about N2.113 trillion at the close of trading on December 29th of December 2023.
The market sentiment for the segment which comprises two telecom firms-MTN Nigeria Plc and Airtel Africa Plc has remained resilient in the face of economic volatility.
Tajudeen Olayinka, CEO, of Wyoming Capital and Partners reviewing the market in an exclusive chat with Nairametrics noted that the market in 2023 has been quite eventful and bullish.
He noted that President Bola Ahmed Tinubu’s inaugural speech, specifically addressing the removal of fuel subsidies and exchange rate unification, served as a catalyst, finally unlocking the long-suppressed market-wide confidence. This latent optimism, which had lingered but remained elusive in the market until then, was activated following the president’s address.
Furthermore, he emphasized that this heightened market-wide confidence endured consistently throughout the entire year.
Executive Vice Chairman, of Hicap Securities Limited, Mr. David Adonri Highcap said that as of 29 December 2023, equities had appreciated year-to-date by about 45%.
Closing the year on a high note, the NGX Exchange recorded a year-on-year increase of 45.90%, marking the fourth consecutive annual gain as it closed at 74,773.77 index points.
Concurrently, the market capitalization experienced a noteworthy uptick of N13 trillion year-on-year, concluding at N40.92 trillion.
The positive market sentiment observed among investors can be attributed to various factors, with a key influence being the favourable policies implemented by President Bola Tinubu’s administration.
These policies encompass the removal of fuel subsidies, the rationalization of exchange rates, and the floating of the naira. Investors strategically positioned themselves, capitalizing on the recent record earnings posted by quoted firms.
