Nigeria’s Capital Importation Hits Six-Year High of $16.7bn in First Nine Months of 2025
Nigeria’s capital importation surged to a six-year high, attracting a total of $16.7 billion in the first nine months of 2025, according to the latest data from the National Bureau of Statistics (NBS). The figures reveal that $11.1 billion was brought in during the second and third quarters, complementing $5.64 billion from the first quarter. This represents a significant jump from the $12.32 billion recorded for the whole of 2024, highlighting renewed investor confidence in the country’s financial markets.
The data shows that foreign portfolio investment (FPI) continues to dominate inflows, representing over 97% of capital raised. While portfolio flows have strengthened quarterly, foreign direct investment (FDI) remains relatively modest, totaling under $600 million for the first nine months. Analysts note that this heavy reliance on liquidity-driven portfolio investments raises questions about the sustainability of Nigeria’s current capital importation growth and whether it can translate into long-term economic expansion.
Sectoral breakdowns indicate that financial services are the primary beneficiaries of these inflows. Banking consistently absorbed over $3 billion per quarter, while the broader financing sector attracted between $873 million and $2.1 billion across the quarters. Other sectors, such as manufacturing, telecoms, and electrical, received modest inflows, while agriculture, oil and gas, technology, and real estate attracted comparatively small amounts. The concentration in finance underscores the risk that capital surges may be volatile and sensitive to global market shifts.
The release of Q2 and Q3 data, delayed for nearly six months, finally sheds light on the true scale and composition of 2025 inflows. Senior government officials had previously cited headline numbers of about $21 billion in capital importation for the first ten months, but the quarterly breakdown now clarifies that the bulk of the growth is yield-driven. Investors and policymakers alike are reminded that without broader FDI diversification, Nigeria remains exposed to rapid reversals if global conditions change or domestic monetary policies shift.
Historically, Nigeria experienced a similar capital surge in 2019 under aggressive monetary tightening, which attracted portfolio inflows into money markets and fixed-income securities. However, the inflows proved temporary, and external shocks such as the COVID-19 pandemic later reversed the trend. Experts caution that while the 2025 inflows are encouraging, the country must focus on converting short-term liquidity gains into sustainable, diversified investments to support lasting economic growth.
source: nairametrics