Business & Economy

Foreign Investment in Nigeria Surges 67% in Q1 2025, Hits $5.64 Billion — NBS

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ABUJA — Nigeria recorded a major rebound in foreign capital inflow in the first quarter of 2025, with total capital importation soaring by 67.12% year-on-year to $5.64 billion, up from $3.38 billion in the same period of 2024, according to the latest report by the National Bureau of Statistics (NBS).

The report, titled Nigeria Capital Importation (Q1 2025), also revealed a quarter-on-quarter growth of 10.86% from $5.09 billion in Q4 2024, signaling growing investor confidence despite global economic uncertainties.

Portfolio investments dominated the inflow, contributing a massive $5.20 billion — representing 92.25% of the total capital importation. Other investments followed with $311.17 million (5.52%), while Foreign Direct Investment (FDI) trailed at just $126.29 million, accounting for 2.24%.

The Banking sector emerged as the biggest beneficiary, attracting $3.13 billion or 55.44% of the total inflow. The Financing sector pulled in $2.1 billion (37.18%), while the Production and Manufacturing sector received $129.92 million (2.30%).

In terms of source countries, the United Kingdom led the pack, contributing $3.68 billion (65.26%) of total investment. South Africa followed with $501.29 million (8.88%), while Mauritius contributed $394.51 million (6.99%).

Geographically, the Federal Capital Territory (FCT) Abuja was the top investment destination, accounting for $3.05 billion (54.11%) of the capital inflow. Lagos State followed with $2.56 billion (45.44%). Ogun, Oyo, and Kaduna States also featured on the list, though with significantly smaller shares of $7.95 million, $7.81 million, and $4.06 million respectively.

The surge in capital importation, particularly in portfolio investment, highlights renewed investor interest in Nigeria’s financial markets amid ongoing reforms and expectations surrounding the 2027 general elections.

Mike Ojo

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