Nigeria’s Intra-African Trade Rises by ₦610bn Amid Weak Naira, Shifting Global Ties
Nigeria’s trade with other African countries surged by ₦610 billion in the first half of 2025, reflecting a renewed push for regional economic integration despite currency headwinds. According to the National Bureau of Statistics (NBS), total trade between Nigeria and African nations climbed to ₦4.82 trillion, up from ₦4.21 trillion in the same period last year. Analysts say the increase underscores the country’s growing reliance on continental markets as global partnerships, especially with the United States, face a new strain.
The quarterly data paints a picture of both volatility and resilience. In the first quarter of 2025, Nigeria’s trade with Africa slipped slightly to ₦1.86 trillion from ₦2.24 trillion in Q1 2024. However, the momentum returned in the second quarter when trade value jumped sharply to ₦2.97 trillion, compared with ₦1.98 trillion in the same quarter of the previous year. This near ₦1 trillion leap in Q2 drove the overall half-year increase, driven largely by higher exports of oil and manufactured goods.
Exports remained the dominant force, totaling ₦4.82 trillion in the first half of 2025, an increase of ₦610 billion from a year earlier. Imports also rose, reaching ₦1.82 trillion, up from ₦1.13 trillion, suggesting that African suppliers are regaining ground as Nigeria’s foreign exchange challenges ease slightly. Despite the rise in imports, Nigeria maintained a trade surplus of ₦2.99 trillion, confirming its position as a net exporter within Africa. However, when converted to U.S. dollars, total trade amounted to just $3.13 billion, up modestly from $2.89 billion in 2024, reflecting the naira’s steep depreciation to ₦1,538.50/$1.
While intra-African trade strengthens, Nigeria’s commercial ties with the United States are deteriorating. Data from the U.S. Census Bureau shows that American imports of Nigerian goods plunged 41 percent from $639 million in June to $379 million in July 2025. The sharp decline followed an executive order signed by President Donald Trump, raising tariffs on Nigerian exports under his “reciprocal trade” policy. The move has hit non-oil exports hardest, dampening U.S. demand and tightening Nigeria’s trade surplus with Washington.
With the African Growth and Opportunity Act (AGOA) set to expire soon, Nigeria is now pivoting more firmly toward African markets. Minister of Industry, Trade, and Investment Jumoke Oduwole said the government will maintain focus on President Bola Tinubu’s eight-point economic agenda, emphasizing diversification and regional cooperation over reactive trade measures. “Nigeria remains responsive, not reactionary. We will continue to support domestic investors and expand market access for Nigerian businesses,” she said, reaffirming Nigeria’s long-term goal of deepening intra-African commerce under the African Continental Free Trade Area (AfCFTA) framework.
source: punch