Capital inflow into Nigeria declines 77.8% in Q2 to $1.29 bln ~NBS
Total foreign capital inflow to the country in the second quarter declined 77.88 percent to $1.29 billion compared with $5.85 billion in the first quarter of the year, the National Bureau of Statistics (NBS) reported on Friday.
The data covers the period of lockdown imposed by governments across the world as part of measures to contain the spread of coronavirus pandemic, which disrupted the global supply chain and caused businesses to shut down.
However, the bulk of the capital inflow came from other investments which accounted for 58.77 percent $761.03 million of total capital imported.
Offshore Portfolio Investment accounted for $385.32 million, 29.76 percent while Foreign Direct Investment (FDI), accounted for 11.47 percent 148.59 million of total capital imported in the second quarter.
The largest amount of capital importation by type was received through Other investment, which accounted for 58.77 percent, as a total of $761.03 million of total capital imported came through other investment.
Portfolio Investment, which accounted for 29.76 percent of the total brought in $385.32 million and Foreign Direct Investment (FDI), which accounted for 11.47 percent as a total of $148.59 million was brought in by FDI during the period.
“By sector, Capital importation by Shares dominated in Q2 2020 reaching $464.57 million of the total capital
importation in Q2 2020,” the NBS stated.
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The United Kingdom emerged as the top source of capital investment to Nigeria in second quarter with $428.83 million and this accounted for 33.12 percent of the total capital inflow in the first six months of the year.
“By Destination of Investment, Lagos state emerged as the top destination of capital investment in Nigeria in Q2 2020 with $1,130.49 million. This accounted for 87.30 percent of the total capital inflow in Q2 2020.
“By Bank, Standard Chartered Bank Nigeria Limited emerged at the top of capital investment in Nigeria in Q2 2020 with $425.21 million. This accounted for 32.84 percent of the total capital inflow in Q2 2020,” the NBS said.