African markets opened Tuesday with mixed signals, as investors weighed global uncertainty against signs of resilience in key sectors such as banking, commodities and infrastructure investment. Rising oil prices and persistent currency pressures continue to shape the continent’s economic landscape, while governments work to attract capital inflows.
Nigeria’s naira under renewed pressure
In Nigeria, the naira faced fresh depreciation against the US dollar, with traders citing dollar shortages and ongoing pressure from import demand. The Central Bank of Nigeria is expected to intervene this week to stabilise the exchange rate. Despite the strain, banking shares on the Nigerian Exchange opened higher, reflecting confidence in strong half-year earnings across the financial sector.
South Africa benefits from commodity gains
Johannesburg’s JSE All Share Index opened firmer, supported by gains in mining stocks as gold and platinum prices edged upward. Investor confidence was lifted by stronger-than-expected export data, though the rand remains vulnerable to shifts in global risk sentiment. Market analysts note that energy supply constraints continue to weigh on domestic growth forecasts.
Kenya and East Africa attract investment flows
Kenya’s Nairobi Securities Exchange showed cautious optimism, with banking and telecommunications stocks leading modest gains. Regional investors remain focused on infrastructure financing deals, particularly in transport and energy, which are expected to support long-term growth. Across East Africa, Tanzania and Uganda also saw steady inflows into government securities, underlining foreign appetite for yields in stable markets.
North Africa sees cautious sentiment
Markets in Egypt and Morocco opened largely flat, with investors awaiting policy updates on fiscal reforms and subsidy reductions. In Cairo, the Egyptian Exchange was under slight pressure, reflecting concerns over inflation and the impact of a strong US dollar on imports. Morocco’s Casablanca market held steady, with financials offsetting weakness in industrials.
Global influences remain decisive
Across the continent, traders are closely monitoring oil price movements, given the importance of energy imports and exports for many African economies. Rising US bond yields and expectations over Federal Reserve policy are also weighing on capital flows, adding to volatility in frontier and emerging markets. Analysts emphasise that African economies remain highly sensitive to external shocks, even as regional integration efforts continue to deepen.
Newshub Editorial, 16 September 2025
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