Capital importation grew by 6.78 percent in the first quarter of 2023, according to the National Bureau of Statistics (NBS).
The total capital imported stood at $1.13 billion, up from the $1.06 billion recorded in Q4 2022.
On a quarter-to-quarter basis, foreign investment into the country increased by 6.78 percent but dropped by 28 percent on a year-to-year basis.
“Total capital importation into Nigeria in Q1 2023 stood at $1.13 billion, lower than $1.57 billion recorded in Q1 2022, indicating a decrease of 28 percent,” the NBS said.
“When compared to the preceding quarter, capital importation rose by 6.78 percent from $1.06 billion in Q4 2022.”
Only eight of the 36 states and the federal capital territory (FCT) received capital investments in Q1 2023.
Lagos remains the top destination for foreign investment ($704.87 million), followed by FCT ($410.27 million), Akwa Ibom ($5.121million), Adamawa ($4.50 million), Anambra ($4 million), and Ogun ($2.09 million).
Others are Niger ($1.50 million), Ondo ($0.20 million) and Ekiti ($0.01 million).
Further analysis indicates that the highest capital importation was received through portfolio investment, which accounted for 57.32 percent ($649.28 million).
Other investments accounted for 38.31 percent ($435.76 million) and foreign direct investment (FDI) accounted for 4.20 percent ($47.60 million) of total capital importation.
The sector that received the highest capital investment was banking ($304.56 million), representing 26.89 percent of total capital imported. The production sector recorded $256.12 million, the IT sector had $216.06 million), consultancy ($0.02 million), oil and gas ($0.75 million), and brewing ($0.65 million).
By banks, the report shows that Citibank Nigeria Limited ranked top with $424.13 million (37.45 percent). Standard Chartered Bank Nigeria Limited was next with $360.33 million (31.81 percent) and Stanbic IBTC Bank had $151.85 (13.41 percent).
President Bola Ahmed Tinubu has continued to reiterate his administration’s commitment to ensuring consistency in policy and a better business climate to attract investment.
In a recent meeting with Shell Petroleum Development Company (SPDC), Tinubu said attracting investments was “a promise I made personally to Nigerians. Whatever it takes, I will fulfil that promise to Nigerians”.