Kayode Tokede
The market capitalisation of First Holdco Plc, Zenith Bank Plc and 10 others listed banks on the Nigerian Exchange Limited (NGX) as of August 2026 crossed N28 trillion mark to N28.4 trillion from N16.12 trillion in December 2025.
The N12.3 trillion or 56.8per cent Year till Date (YtD) growth is on the backdrop of impressive corporate earnings that led to surge investors demand.
The N28.4 trillion banking sector market capitalisation is about 18.03 per cent of the overall N157.74 trillion NGX market capitalisation as of August 31, 2026.
The growth in the NGX Banking Index was driven by stock price appreciation in First Holdco, Zenith Bank, nine others.
Only FCMB Group Plc saw a -2.9 per cent YtD decline in stock price in the period under review but the group’s market capitalisation closed August 2026 at N771.67 billion, up by 49.7 per cent from N515.4billion in 2025. .
However, First Holdco led others as the most capitalised banking stock in the eight months under review, followed by Zenith Bank Plc, and Guaranty Trust Holding Company Plc (GTCO).
The three banks were included in FTSE Russell highly capitalised stocks in FTSE Frontier Index Series. Nigeria on September 21, 2026 returned to Frontier Market status after a three years absence from the global index provider’s classification.
The market capitalisation of First Holdco closed at N6.59 trillion as of August 2026 from N2.01 trillion when it closed December 2025.
The stock price of First Holdco appreciated by 202.7 per cent to close at N145 per share from N47.90 per share it closed for trading in December 2025.
The oldest financial institution in Nigeria two months ago saw its market capitalisation above N5.88 trillion to become the top most capitalized financial institution on the NGX.
The growth in stock price is on the backdrop of acquisition of additional shares by investors and impressive half year (H1) 2026 result and accounts.
Zenith Bank and GTCO came second and third with market capitalisation at N5.23 trillion, and N4.86 trillion as of August 2026 from N2.54 trillion and N3.3 trillion, December 2025, respectively.
YtD, the NGX Banking Index appreciated by 73.11 per cent to outshine the major market index excluding the NGX Oil & Gas index that has increased by 96.8 per cent YtD.
NGX Industrial Goods Index gained N81.65 per cent, while NGX Insurance Index dropped by 8.4 per cent YtD between December 2025 to August 2026.
The overall NGX All Share Index has appreciated by 56.9 per cent driven by investors’ confidence, improvement in the foreign exchange market, improved corporate earnings by listed firms, among other factors.
On index outlook for 2026, Cordros Securities in a report titled, “Nigeria in 2026. Review & Outlook July 2026 Macros & Markets Recovery to Realignmen,” stated that, “ We believe the fundamental backdrop remains supportive enough to support a strong market performance in H2”2026, although returns are not expected to match the first half of the year.
“We highlight five key themes that are likely to shape investor positioning and market direction in H2 2026. Still stable macroeconomic conditions: We expect the macroeconomic environment to remain broadly stable through year-end. Our base case assumes a year-end exchange rate of N1,350.00/USD, implying a 6.3per cent y/y appreciation in the naira, a further +2.6per ent on year-to-date performance.
It added, “While elevated oil prices are likely to exert upward pressure on inflation through the remainder of the year (Cordros average estimate: 15.51per cent | 2025 average: 23.33per cent), we do not expect a significant acceleration in price levels.
“At the same time, we expect the Monetary Policy Committee to maintain the Monetary Policy Rate at 26.50per cent through year-end as policymakers balance lingering inflation risks against the need to preserve macroeconomic stability.
“Although unlikely to drive market performance, greater policy stability should provide a more predictable operating environment for businesses and investors alike. Overall, the H2-26 macro narrative is expected to be one of relative stability, providing a supportive backdrop for investor confidence and corporate earnings.”