*As Foreign Direct Investment rises 140%
By Elizabeth Adegbesan
Nigeria’s capital importation fell by 62 percent month-on-month, MoM, to $1.13 billion in August from $2.98 billion in July 2025.
Nigeria’s Foreign Direct Investment, FDI, increased by 140 percent, MoM, to $120 million in August 2025 from $50 million in the previous month.
The Central Bank of Nigeria, CBN, disclosed this in its August Monthly Economic Report, which also showed that Foreign Direct Investment, FDI, increased by 140 percent, MoM, to $120 million in August 2025 from $50 million in the previous month, driven by increased inflow of equity.
The CBN stated: “Foreign Direct Investment increased, as relative stability in the economy continued to bolster investor confidence. “However, overall capital inflow moderated, on account of moderation in foreign portfolio investment.
“Foreign direct investment increased by 140.00 per cent to $0.12 billion from $0.05 billion in July, due to increased inflow of equity.”
CBN noted that portfolio investment and other investments declined during the review period.
“However, portfolio investment and ‘Other investment’, mainly loans, declined to $0.92 billion and $0.09 billion, respectively, from $2.43 billion and $0.50 billion.
“Consequently, overall capital importation decreased to $1.13 billion, from $2.98 billion in the preceding month.
“In terms of share, portfolio investment constituted 81.42 per cent, while direct investment and ‘Other investment’ accounted for 10.62 and 7.96 per cent, respectively.
“Analysis of capital importation by nature of business showed the banking sector as the highest recipient, accounting for 68.15 per cent, followed by financing (22.18 percent), production/manufacturing (3.7 percent), and trading (2.97 percent). Other businesses accounted for the balance.”
On capital outflow, CBN said: “Capital outflow moderated due to lower loan repayment and capital transfers. Capital outflow fell to $0.86 billion, from $1.36 billion in the preceding month.
“A disaggregation showed that loan repayment and capital transfer declined by 55.38 and 27.93 per cent to $0.29 and $0.49 billion, respectively, from the levels in the preceding month.
“However, repatriation of dividends increased to $0.08 billion from $0.02 billion in the preceding month.”
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