Investment into Nigeria dropped by $460m in three months, says NBS

Data made available by the National Bureau of Statistics (NBS) on Monday showed that foreign inflow into Nigeria decreased from $5.82 billion in Q2 2019 to $5.36 billion in Q3 2019, a difference of $460 million.

In its report titled Nigerian Capital Importation (Q3 2019), the NBS said the figure represents a decrease of 7.78 percent compared to the previous quarter.

The NBS said the total value of capital importation in the third quarter stood at $5,367 million.

The figure, however, represents 87.99% increase year-on-year.

The United Kingdom emerged as the lead capital investor in Nigeria in Q3 2019 with $2,011.14 million. This accounted for 37.47% of the total capital inflow in Q3 2019.

According to the report, Lagos is the most preferred destination for foreign investors, with the largest inflow of foreign capital of $4,976.40 million.

“The total value of capital importation into Nigeria stood at $5,367.56 million in the third quarter of 2019. This represents a decrease of -7.78% compared to Q2 2019 and 87.99% increase compared to the third quarter of 2018,” the report read.

“The largest amount of capital importation by type was received through Portfolio investment, which accounted for 55.88% ($2,999.50m) of total capital importation, followed by Other Investment, which accounted for 40.39% ($2.167.98m) of total capital, and then Foreign Direct Investment FDI, which accounted for 3.73% ($200.08m) of total capital imported in Q3 2019.

“By sector, Capital importation by banking dominated Q3 2019 reaching $1,756.83 million of the total capital importation in Q3 2019.

“The United Kingdom emerged as the top source of capital investment in Nigeria in Q3 2019 with $2,011.14 million. This accounted for 37.47% of the total capital inflow in Q3 2019.

“By Destination of Investment, Lagos state emerged as the top destination of capital investment in Nigeria in Q3 2019 with $4,976.40 million. This accounted for 92.71% of the total capital inflow in Q3 2019.

“By Bank, Stanbic IBTC Bank Plc emerged at the top of capital investment in Nigeria in Q3 2019 with $1,630.91 million. This accounted for 30.38% of the total capital inflow in Q3 2019.”