OctaFX is an international Forex broker providing online trading services since 2011. It recently released a report that outlines the state of the Nigerian Forex trading market. The report showcases the strengths, weaknesses, threats to adoption and ways to navigate the murky waters of the FX market safely.
The report is available for download here.
Forex market situation in Nigeria
According to info sourced by OctaFX, the Nigerian financial market has been on a surge with a growing interest in forex trading. It cites a 2021 report which states that there are around 300,000 retail forex traders in Nigeria, with a 46% increase of female traders in the last two years.
OctaFX attributes this growth to increased mobile penetration in Nigeria and growing interest from the younger demographic. The report also says this growing interest is due to the fact that young Nigerians see the Forex market as a way to make quick money.
“Nigeria’s forex market has witnessed increased participation in recent times, with transactions of different currency pairs worth millions of naira carried out daily. The commonly traded pairs in Nigeria’s forex market include EUR/USD, USD/JPY, GBP/USD, and USD/CHF.
The need for ease in forex trading and digitization of the market has seen an influx of young Nigerians trading online. According to the survey by OctaFX, the youths (18 – 35 years old) account for 93.7% of the respondents trading on forex platforms.” – The OctaFX document.
However, fraudsters have taken advantage of the growing buzz and interest to launch their scam schemes. OctaFX says it discovered through studies that a significant number of Nigerians have fallen into different Ponzi schemes and scams disguised as Forex trading.
According to a survey of 1254 participants, 83% of the respondents stated that they had been victims of Forex scams, losing between #1000 to #150,000 and above. OctaFX says that 76% of the respondents perceive that their attitude and belief regarding the Forex market have been affected by these fraudulent acts in the space.
In view of that, OctaFx is now committed to supporting Nigerian Forex traders to overcome the challenges that come with trading and investment, by providing analytical and financial instruments.
According to the report, securing one’s investment is critical and genuine in Forex trading. In order not to fall victim to fraud and scams in the Forex space, players should use reliable platforms such as OctaFX.
The platform provides a combination of security and protection methods to trade because single measures cannot fully guarantee safety.
Get the best of Africa’s daily tech to your inbox – first thing every morning.
Join the community now!