Date: March 26, 2026 l Reporter: Mr Emma
Nigeria has recorded a significant rise in foreign capital inflows, with total capital importation reaching $6.44 billion in the fourth quarter of 2025, according to official data released by the National Bureau of Statistics (NBS), signaling renewed investor interest in the country’s financial markets.
The latest figures represent a 26.61 percent increase compared to the $5.09 billion recorded during the same period in 2024, as well as a 7.13 percent rise from the previous quarter of 2025, indicating steady growth in capital inflows despite ongoing economic challenges.
A breakdown of the report shows that foreign portfolio investment dominated the inflows, accounting for approximately $5.49 billion, or over 85 percent of the total capital imported during the quarter. In contrast, foreign direct investment (FDI) contributed just $357.8 million, representing a relatively small share, while other investments accounted for about $599.65 million.
Sectoral analysis revealed that Nigeria’s banking industry attracted the largest share of foreign capital, receiving about $3.85 billion—nearly 60 percent of total inflows—followed by the financing sector with $1.94 billion. The production and manufacturing sector recorded significantly lower inflows, highlighting continued investor preference for financial instruments over real sector investments.
In terms of origin, the United Kingdom emerged as the largest source of capital inflow into Nigeria, contributing approximately $3.73 billion, while the United States and South Africa followed with notable contributions, reflecting the country’s reliance on established global financial hubs.
Financial institutions also played a key role in facilitating these inflows, with major banks such as Stanbic IBTC, Standard Chartered Bank Nigeria, and Citibank Nigeria leading in capital importation during the period.
Economic analysts say the surge in capital inflows points to improving investor confidence, particularly in Nigeria’s financial markets and short-term instruments. However, the relatively low level of foreign direct investment continues to raise concerns about long-term economic growth, job creation, and industrial development.
The latest data underscores a critical challenge for policymakers—how to convert rising foreign capital inflows into sustainable economic expansion, especially by channeling investments into key sectors such as manufacturing, infrastructure, and agriculture.
As Nigeria seeks to stabilize its economy and attract more long-term investments, the Q4 2025 capital importation figures offer both a sign of recovery and a reminder of the structural gaps that still need to be addressed.