The Chartered Institute of Stockbrokers (CIS) Academy has said the capital market is poised to extend its rally in 2026, supported by strong 2025 gains and improving macroeconomic conditions,
Its General Manager, Dr Adekunle Adewale, said this during the WorldStage Nigeria Macroeconomic Forum on Thursday in Lagos.
He said that the market’s outlook remained upbeat after posting over 150 per cent growth in 2025.
“We expect that with what was achieved in 2025 and the ongoing economic developments, the capital market will do well in 2026,” he said.
He linked the optimism to ongoing reforms and expectations of a trillion-dollar economy, but cautioned over early-year concerns around Exchange Traded Funds (ETFs) and market practices.
“In the first three months of the year, we observed several issues around ETF practices and the stock market.
According to Adewale, the academy is responding with targeted training programmes to address gaps and strengthen investor participation, with sessions scheduled to begin early in the year.
“As a result, we are putting together training programmes for stakeholders to help them better understand and leverage market opportunities,” he said.
Also giving an assessment of the insurance industry, Ms Nike Popoola, Publisher of Daily Economy, said the ongoing recapitalisation of insurance companies would significantly strengthen the industry and improve its contribution to the economy in 2026.
Popoola noted that the last recapitalisation exercise between 2005 and 2008 set capital thresholds at relatively low levels.
“We were operating with those figures in a completely different economic reality, in spite inflation and exchange rate changes,” she said.
Popoola explained that several attempts to review the insurance law since 2008 failed until the passage of the Nigerian Insurance Reform Act, which she described as a “game-changer.”
“Under the new law, minimum capital requirements have increased significantly.
“This will make the industry more competitive, better positioned to absorb risks and contribute meaningfully to economic growth,” she said.
Popoola noted that the reform introduced risk-based capital requirements, which would ensure that insurers go beyond minimum thresholds to build real underwriting capacity.
She disclosed that about 20 insurance firms had already indicated readiness to meet the new capital requirements ahead of the recapitalisation deadline.
On trust in the sector, she said the new law would address longstanding credibility issues.
“There will now be clear timelines for claims settlement, with penalties for delays. This will restore confidence in the industry,” she said.
Popoola also highlighted the enforcement of compulsory insurance policies.
Meanwhile, a seasoned Journalist, Mr Olusegun Koiki of The Guardian Newspaper, expressed concern over the sustainability of Nigeria’s aviation industry.
Koiki cited declining passenger traffic, rising operational costs and multiple taxes as key challenges.
He said global air travel reached about five billion passengers in 2025, according to the International Air Transport Association (IATA).
He, however, noted that Africa accounted for only between two to three per cent of the global figure, translating to roughly 1.9 million to 200 million passengers.
According to him, the majority of these passengers were transported by foreign airlines from Europe, the Middle East and Asia, with African carriers contributing only a small fraction.
Koiki said leading African carriers such as Ethiopian Airlines, Kenya Airways and RwandAir still operate relatively small fleets compared to global counterparts, adding that the situation reflected the weak capacity of the continent’s aviation sector.
He lamented the collapse of Nigeria Airways, noting that the defunct national carrier once played key role in training aviation professionals across Africa.
Turning to regional performance, Koiki said West Africa recorded about 100 to 120 million passengers in 2025.
He noted that Nigeria’s passenger traffic had been on a steady decline, with 15.6 million passengers recorded in 2024, compared to 15.8 million in 2023 and 16.2 million in 2022.
“In spite of the increase in the number of airlines, passenger numbers have not improved. This indicates that more airlines are competing for fewer passengers,” he said.
Koiki attributed the trend largely to economic challenges, noting that about 70 per cent of air travellers in Nigeria were government officials, while average citizens increasingly opt for road transport due to cost constraints.
He also pointed out that the number of aircraft operated by Nigerian airlines had dropped significantly from about 150 in 2015 to 44 in 2024 and further to 38 in 2025.
According to him, the situation is compounded by high operational costs, especially aviation fuel, which rose from about N900 per litre in January to over N2,500 per litre in March.
He explained that airlines require at least 60 per cent passenger capacity to break even, a target that is becoming difficult to achieve due to low patronage.
Koiki further highlighted the impact of multiple taxes and levies on air travel, including the recently introduced Air Passenger Sourcing Information (APIS) charge of 11 dollars and 20 dollarsb security levy.
He said additional regional travel charges of up to 80 dollars have further increased the cost of flying within West Africa, discouraging passengers from air travel.
“With these cumulative charges, many travellers now prefer road transport for regional trips, as airfares have become significantly higher,” he said.
Koiki called for urgent policy measures to address the challenges and reposition the aviation sector for sustainable growth in the year 2026.
