The total value of capital importation into Nigeria decreased to $875.62m in the second quarter of 2021 from $1.91bn in the first quarter of 2021.
The National Bureau of Statistics (NBS) made this known in its report titled, ‘Nigerian capital importation (Q1 & Q2 2021)’ released on Tuesday, July 27.
NBS said this represented a decrease of 54.06 per cent compared to Q1 2021 and 32.38 per cent decrease compared to the second quarter of 2020.
The largest amount of capital importation by type was received through portfolio investment, which accounted for 62.97 per cent ($551.37m) of total capital importation, followed by Other Investment, which accounted for 28.13 per cent ($246.27m) of total capital imported and Foreign Direct Investment, which accounted for 8.9 per cent ($77.97m) of total capital imported in Q2, 2021.
By sector, capital importation by banking dominated in Q2, 2021 reaching $296.51m of the total capital importation in Q2, 2021.
The United Kingdom emerged as the top source of capital investment in Nigeria in Q2, 2021 with $310.26m. This accounted for 35.43 per cent of the total capital inflow in Q2, 2021.
By destination of investment, Lagos State emerged as the top destination of capital investment in Nigeria in Q2 2021 with $780.06m.
It accounted for 89.09 per cent of the total capital inflow in Q2, 2021. By bank, Stanbic IBTC Bank Plc emerged at the top of capital investment in Nigeria in Q2 2021 with $310.21m. It accounted for 35.43 per cent of the total capital inflow in Q2 2021.
The report read: “The expected positive effect of the re-opening of Nigeria’s land borders on trading activities was evident, despite the adverse effects of the second wave of the COVID-19 pandemic Data on aggregate external trade at $8.14 billion, showed a month-on-month increase of 3.2 per cent, from $7.89 billion recorded in December 2020.
“When compared with the corresponding period of 2020, it indicated a 27.5 percent decline. Aggregate exports declined by 9.2 percent to $2.81 billion in the review period, compared with $3.10 billion in December 2020, due, largely, to a decline in crude oil and gas export receipts.