Capital importation into Nigeria drops by 31% to $6.7bn in 2021
Forex

Figures from the National Bureau of Statistics (NBS) indicate that capital inflows to Nigeria from the United States, United Kingdom, South Africa, United Arab Emirates, the Netherlands, and Mauritius hit $31.82bn in three years.

According to the NBS data, the six countries accounted for 83.32 per cent of the total capital of $38.18bn imported into Nigeria from over 100 countries from January 2019 to September 2021.

The UK accounted for the highest foreign inflow of $17.34bn, followed by the US ($5.79bn), South Africa ($3.99bn), UAE ($1.80bn), Netherlands ($1.68bn), and Mauritius ($1.09bn).

The capital importation data is obtained from the Central Bank of Nigeria and includes imported physical capital, such as equipment, and financial capital importation, NBS said.

According to the bureau, capital importation comprises three main investment categories, namely foreign direct investment, foreign portfolio investment, and other investments.

It said FDI includes equity and other capital, while FPI includes equity, bonds, and money market instruments; ‘other investments’ include trade credits, loans, currency deposits, and other claims.

Capital inflow from the six countries declined from $20.09bn in 2019 to $7.94bn in 2020. It stood at $3.78bn in the nine months to September 2021.

LEAVE A REPLY

Please enter your comment!
Please enter your name here