Calm has dramatically returned to the Nigerian equities market, which on Tuesday, November 11, 2025, suffered its steepest single-day decline since March 2010. The panic-driven sell-off, which wiped a staggering ₦4.641 trillion off market valuation, was swiftly reversed following a critical intervention from the Ministry of Finance.
The Nigerian Exchange (NGX) had been on a multi-week downward trajectory, but the rout culminated in a historic plunge on Tuesday. Market capitalisation plummeted from ₦94.526 trillion to ₦89.885 trillion. Concurrently, the bellwether All-Share Index (ASI) dropped by 7,454.6 points, a sharp 5.01% contraction that signaled the deep market anxiety.
The crash was widespread, affecting nearly every major stock and sector. Leading industrial and telecom counters were heavily impacted, with Dangote Cement, MTN Nigeria, and BUA Cement all losing 10% on the day, while GTCO fell nearly 8%.
The sectoral performance underlined the market’s distress:
- Industrial: Down 8.5%
- Banking: Down 7.3%
- Oil and Gas: Down 4.6%
- Insurance: Down 4.3%
Market analysts largely attributed the panic to a toxic combination of factors. Foremost among them was widespread fear over a proposed 30% Capital Gains Tax (CGT) on stock transactions. This domestic concern was compounded by heightened geopolitical tension stemming from threats by U.S. President Donald Trump regarding potential military action in Nigeria. These twin fears, alongside routine year-end portfolio rebalancing, triggered the devastating mass withdrawal.
The bleeding was stopped by Wale Edun, the Minister of Finance and Coordinating Minister of the Economy. Intervening during the Closing Gong Ceremony, which marked the listing of the MREIF Series 2, Minister Edun urged investors to remain calm.
He acknowledged the market’s concerns surrounding the controversial proposed tax, stating, “We have noted the concerns around Capital Gains Tax and will continue to engage with the capital market to ensure any decisions deliver optimal outcomes for both Nigerians and the market.”
His assurance that the Federal Government was actively monitoring the situation and prioritizing stability immediately restored confidence among institutional and retail investors.
The response to the Minister’s remarks was instantaneous, leading to a massive rebound.
- On Wednesday, November 12, the market surged back, recovering a substantial ₦2.5 trillion in a single trading session.
- The rally continued strongly on Thursday, November 13, with investors gaining an additional ₦1 trillion.
- The week closed on Friday, November 14, with a further ₦20 billion profit.
With this powerful recovery, the equity capitalisation has surged back to ₦94.5 trillion, effectively reversing the bulk of the losses incurred during Tuesday’s historic meltdown. The swiftness of the bounce-back underscores the market’s sensitivity to government policy signals and the powerful effect of coordinated leadership intervention.
