Nigeria has emerged as the world’s best-performing equity market in dollar terms in 2026, overtaking South Korea after recording a 67% return, according to Bloomberg data tracking 92 global stock exchanges.

The strong market performance is being driven by improved investor confidence following ongoing economic reforms, stronger foreign exchange liquidity, higher global oil prices, and renewed foreign investment. The naira has also appreciated by about 4% against the U.S. dollar this year, boosting returns for international investors.

Investor optimism received another boost after S&P Dow Jones Indices announced it is considering upgrading Nigeria to frontier market status, a move expected to attract more institutional investors to the country’s capital market.

Meanwhile, South Korea’s stock market has slipped to second place as its AI-driven rally lost momentum. The benchmark Kospi Index has fallen more than 22% from its June peak, while the South Korean won has weakened by about 5% against the U.S. dollar this year.

Analysts also expect the planned listing of the Dangote Petroleum Refinery to further strengthen Nigeria’s capital market by attracting fresh local and foreign investment.

With sustained economic reforms and improving macroeconomic conditions, Nigeria is increasingly positioning itself as one of the world’s most attractive destinations for frontier market investors. Visit www.jocomms.com for more news.