In spite of a challenging economic climate marked by currency issues and a decline in investor confidence, Nigeria’s foreign portfolio equity registered a $2. 08 billion deficiencies between 2010 and 2021. The portfolio equity had been recorded at $2. 15 billion in the year 2010 but had decreased to $72 million by the year 2021, according to a World Bank report titled “International Debt Report 2022,” an updated record of “International Debt Statistics.”
Compared to $1.26 billion the year before, the country’s equities portfolio had a deficit of $1. 55 billion in 2019. According to a Washington Bank estimate, Nigeria had a similar shortfall in 2020 with $255 million in portfolio equity. Remember that the nation’s foreign direct investment fell by 58.98% in 11 years, according to a recent study by The PUNCH.
According to the report, FDI decreased from $5.97 billion in 2010 to $2.45bn in 2021. Commenting on the nation’s depleting portfolio equity to The PUNCH, a capital market analyst, Mr Ayotunde Alabi, said this was because the nation’s business environment was unattractive and the inability of investors to repatriate dividend.
