The secondary market turnover on FMDQ Exchange in April 2025 was N45.71trillion. This record value represents month-on-month (MoM) decrease of 21.47 percent (N12.50trillion) and year-on-year (YoY) increase of 66.22 percent (N18.21trillion) from the turnover recorded in March 2025 and April 2024, respectively.
Foreign Exchange (FX) and CBN Bills transactions dominated secondary market activity, jointly accounting for 70.01 percent of the total secondary market turnover in April 2025.
In its recently released markets monthly report for April, FMDQ Exchange said that total spot market turnover for all products traded in the secondary market was N43.10trillon, representing a MoM decrease of 19.89 percent (N10.70trillion) from March 2025 figures.
The MoM decrease in total spot market turnover was driven by the decrease in Fixed Income (FI), Money Market (MM), FX turnover by 5.55 percent (N960billion), 49.38 percent (N7.22trillion) and 11.50 percent (N2.52trillion) respectively.
The report stated that decrease in Money Market turnover in April was solely driven by the MoM decrease in the Repos/Buy-backs product category. “Similarly, the decrease in FI turnover was driven by the MoM decrease in T.Bills and FGN Bonds, while CBN Special Bills remained inactive during the review period,” the report stated.
According to FMDQ Exchange in the report, Spot FX Market turnover was $12.13billion (N19.40trillion) in April 2025, representing a MoM decrease of 15.19 percent ($2.17billion) from the turnover recorded in March 2025 ($14.30billion).
Read also: FMDQ Exchange says October secondary market turnover hits N41.23trn
“Further, the Naira depreciated against the US Dollar in the FX market, with the spot exchange rate ($/N) increasing by 4.55percent ($/N69.79) to close at an average of $/N1,602.79 in April 2025 from $/N1,533 recorded in March 2025, trading within a range of $/N1,534– $/N1,644,” the report noted.
In the derivatives market, total turnover in the FX Market segment was $1.63billion (N2.60trillion), representing a MoM decrease of 43.33percent ($1.24billion) from March 2025 figures.
Spot fixed incomed (FI) market turnover in April 2025 was N16.30trillion, representing a MoM decrease of 5.55 percent (N960billion) from the turnover recorded in March 2025 (N17.26trillion). The MoM decrease in turnover was driven by the decrease in T.Bills and FGN Bonds transactions during the review period.
In April 2025, the trading intensity (TI) for T.bills decreased MoM by 0.12 basis points (bps) to 0.33 while the TI for FGN Bonds remained at 0.07.
T.bills with term-to-maturity (TTM) between >6M – 12M and FGN Bonds with TTM between >5Y – 10Y were the most traded sovereign FI securities, accounting for 60.61 percent (N3.70trillion) and 21.29 percent (N1.30trillion) of the secondary market turnover for sovereign FI securities in the spot market, respectively.
In April 2025, the sovereign yield curve experienced a 0.04 percentage points (ppts) MoM decrease in yield spread to 0.76ppts. This indicates a slightly upward-sloping curve at the short end, while the longer end of the curve remains inverted. During the review period, one (1)-year real (inflation adjusted) yields in Nigeria remained negative at (1.86percent), compared to selected emerging markets.
Total turnover in the MM segment decreased MoM by 49.38 percent (N7.22trillion) to N7.40trillion in April 2025. The MoM decrease was driven by the 49.40 percent (N7.22trillion) decrease in Repos/Buy-backs. The average Overnight (O/N) rate and Open Repos (OPR) rate (secured lending rate) decreased MoM by 3.40ppts and 3.36ppts, respectively, to close at an average of 27.23 percent and 26.81 percent in April 2025.
Total turnover in the FX derivatives segment in April 2025 was $1.63billion (N2.60trillion), representing a MoM decrease of 43.33 percent ($1.24billion) from March 2025 figures ($2.87billion). The MoM decrease in the FX derivatives turnover was jointly driven by the 43.21 percent ($1.19billion) and 45.90 percent ($0.06billion) decrease in FX Swaps and FX Forwards transactions, respectively during the review period.
