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Nigeria’s Q2 capital importation falls by 9%—Report

Published

1 year ago

October 9, 2023

Data from Nigeria’s official data authority shows that the total value of capital importation into the country in the second quarter of the year fell to $1.03 billion from $1.13 billion in the first quarter.

The National Bureau of Statistics (NBS) said the decline represented a 9% fall compared to the previous quarter, according to its report titled, ‘Nigerian Capital Importation Q2 2023′.

On year-on-year basis, the country’s capital importation declined by 32.9 per cent compared to the second quarter of 2022.

“In Q2 2023, total capital importation into Nigeria stood at $1,030.21 million, lower than $1,535.35 million recorded in Q2 2022, indicating a decrease of 32.90 per cent.

“When compared to the preceding quarter, capital importation fell by 9.04 per cent from $1,132.65 million in Q1 2023,” the NBS said.

According to the statistics office, Other Investments came in first place, making up 81.28 percent ($837.34 million) of all capital imports during the second quarter of 2023. Portfolio Investment came in second with 10.37% ($106.85 million) and Foreign Direct Investment (FDI) in third with 8.35% ($86.03 million).

The production sector, which accounted for $605.04 million, or 58.73 percent of all capital imported in Q2 2023, according to the bureau, saw the biggest inflow followed by the banking industry with $194.58 million, or 18.89%.

According to the NBS, the United States accounted for $271.92 million, or 26.39 percent, of the capital imported during the reference period. Singapore and South Africa followed, with $177.44 million (17.22 %) and $136.95 million (13.29 %) each.

According to the report, Lagos State continued to be the leading investment destination with $778.06 million, or 75.52% of the total capital in Q2 2023. According to the report, Abuja (FCT) came in second with $194.28 million (18.86 %).

Related Topics:capital Featured Import Nigeria

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IMF mission concludes 4th loan program assessment in Egypt

Published

1 hour ago

November 22, 2024

Ifeoluwa Dada

Following the completion of a recent visit to Egypt, the International Monetary Fund (IMF) has announced that its mission had achieved significant strides in policy talks aimed at concluding the fourth review of the IMF loan program.

The review is the fourth in Egypt’s most recent 46-month IMF loan program, which was authorised in 2022 and increased to $8 billion this year following an economic crisis characterised by high inflation and chronic foreign exchange shortages. It may unleash more than $1.2 billion in financing.

Along with reaffirming its commitment to maintain a flexible exchange rate system, the IMF stated that Egypt “has implemented key reforms to preserve macroeconomic stability,” including the unification of the currency rate that facilitated imports.

Earlier on Wednesday, Egypt’s Prime Minister Mostafa Madbouly said Cairo has asked the IMF to modify the targets for the programme not only for this year, but for its full duration, he added without giving more details.

“Discussions will continue over the coming days to finalize agreement on the remaining policies and reforms that could support the completion of the fourth review,” the IMF added in its statement.

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Kenya seeks $750m from World Bank, obtains $200m from AfDB— Official

Published

2 days ago

November 20, 2024

Ifeoluwa Dada

The head of debt management for the finance ministry told Reuters that Kenya had obtained a $200 million loan from the African Development Bank (AfDB) and was negotiating a fresh $750 million loan with the World Bank.

After being forced to abandon proposed tax rises costing more than 346 billion shillings ($2.68 billion) in June due to fatal demonstrations, the East African nation’s administration, which has been grappling with significant debt, has been frantically seeking fresh funding.

The Finance Ministry’s public debt management office director general, Raphael Owino, told Reuters that the IMF’s October clearance of the seventh and eighth reviews, which opened the door for a $606 million loan tranche, had aided the ministry’s talks for more loans.

“The World Bank is coming on board, riding on the back of IMF receipts,” Owino said. “The AfDB is already on board.”

The discussions for more assistance, which came under the World Bank’s “Development Policy Operations” (DPO) with the government, were confirmed by a representative at the organization’s Kenya office.

“The amount of the current (loan) is yet to be determined. The amount will also depend on the implementation of the policy reforms agreed upon,” the spokesperson told Reuters, adding that past DPO loans averaged about $750 million.

In May, the World Bank approved the latest round of DPO loans, totalling $1.2 billion.

According to a statement made last month by Finance Minister John Mbadi, Kenya has set a foreign borrowing goal of 168 billion shillings for the fiscal year ending in June 2025.