Between January 2015 and December 2018, the Nigerian economy attracted a total investment of $43.81bn, investigations have revealed
Based on the official N305 to a dollar exchange rate of the Central Bank of Nigeria, the $43.81bn translates into about N13.36tn
They were Foreign Direct Investments made up of equity and other capital; Portfolio investment which comprised equity, bond and money market instruments; and other investments which were made up of trade credits, loans, currency deposit and other claims.
Further analysis of the report showed that Nigeria’s foreign exchange policy, the Economic Recovery and Growth Plan and the economic recession witnessed in 2016 largely shaped capital importation over the period.
For instance, investigations showed that prior to the economic recession of 2015, the level of investment inflows was at an upward trajectory.
However, at the onset of the economic crisis few months after the inauguration of President Muhammadu Buhari, findings showed that investment inflow recorded a sharp decline to almost half of the 2014 value of $20.76bn dropping to $9.65bn in 2015.
Further analysis of the report revealed that in 2016, the value of investment inflow remained depressed, decreasing by $4.55bn from $9.65bn in 2015 to $5.1bn.
It, however, noted that a recovery began in 2017, as investors raised their stake by $7.1bn to $12.2bn.
In the 2018 fiscal period, the country attracted about $16.81bn investment, the NBS data showed.
This was followed by other investment, which accounted for $3.81bn or 22.69 per cent of total capital, while Foreign Direct Investment had $1.19bn or 7.11 per cent of total capital imported in 2018.
In terms of destination, the report stated that the United Kingdom emerged as the top source of capital investment in Nigeria in 2018 with $6bn. This, it noted, accounted for 35.74 per cent of the total capital inflow in 2018.
This was followed by the United States with $3.57bn; South Africa, $1.15bn; the United Arab Emirates, $937.19m; Belgium, $886.08m; and Singapore, $780.87m.
Others were Ghana, $626.44m; Mauritius, $560.87m; The Netherlands, $373.08m; and Switzerland, $355.98m.
The Executive Secretary, Nigeria Investment Promotion Commission, Yewande Sadiku, had said that the government was committed to attracting fresh investments in key sectors of the economy.
Sadiku said the commission now had a seamless collaboration with the states to enable it to monitor closely investments inflow into the country, as a one-stop centre.
She said the commission was working with key stakeholders to see more Nigerians invest in the country, adding that the current efforts of the NIPC in working more closely with the states was to increase the level of investment inflow into the country and to ensure seamless collaboration and proper tracking.
She said, “We are interested in seeing more Nigerians invest in the country, and we have a Domestic Direct Investment model now in the commission and we are working with the National Bureau of Statistics to track investments inflow into the country.”
“The current efforts of the NIPC in working more closely with the states is to increase the level of investment inflow into the country, and to ensure seamless collaboration and proper tracking.”