By Boluwatife Oshadiya | March 26, 2026
- Nigeria records $6.44 billion in capital importation during Q4 2025
- Inflows jump 26.61% year-on-year and 7.13% quarter-on-quarter
- Portfolio investments dominate at 85.14%, with banking sector leading
Nigeria attracted $6,443.48 million in fresh capital during the fourth quarter of 2025, the National Bureau of Statistics (NBS) reported on March 25. The figure marks a 26.61% increase from $5,089.16 million in Q4 2024 and a 7.13% rise from $6,014.77 million in Q3 2025.
Portfolio investment led the inflows at $5,486.03 million (85.14% of the total), driven by money market instruments and bonds. Foreign direct investment (FDI) contributed $357.80 million (5.55%), while other investments — including loans, trade credits and currency deposits — added $599.65 million (9.31%).
The banking sector captured the largest share at $3,850.14 million (59.75%), followed by financing at $1,942.44 million (30.15%). Production and manufacturing received $308.93 million (4.79%), with smaller amounts flowing into trading, telecoms, agriculture and other sectors.
Stanbic IBTC Bank Plc topped recipient institutions with $2,228.34 million (34.58% of total inflows), ahead of Standard Chartered Bank Nigeria Ltd at $1,852.43 million (28.75%) and Citibank Nigeria Ltd at $840.72 million (13.05%).
The United Kingdom remained the dominant source country with $3,733.37 million (57.94%), followed by the United States ($837.91 million or 13%), South Africa ($516.96 million or 8.02%), Mauritius and Belgium.
“In Q4 2025, total capital importation into Nigeria stood at $6,443.48 million, higher than $5,089.16 million recorded in Q4 2024, indicating an increase of 26.61% on a year-on-year basis,” the NBS stated.
The Issues
The heavy tilt toward portfolio flows — now consistently above 80% in recent quarters — highlights improved market sentiment and clearer CBN policy signals but also underscores limited long-term commitments to the real economy. FDI remains subdued at under 6% of inflows, a pattern seen across 2025 despite full-year capital importation reaching approximately $23.21 billion. This structure raises questions about how quickly the inflows will translate into factory jobs, infrastructure and non-oil exports.
What’s Being Said
“In Q4 2025, total capital importation into Nigeria stood at $6.44bn, higher than $5.09bn recorded in Q4 2024, indicating an increase of 26.61 per cent on a year-on-year basis,” the National Bureau of Statistics said.
Analysts note that the dominance of portfolio investment reflects growing investor confidence in Nigeria’s financial markets and reforms, though they caution that sustainable growth requires stronger FDI to support production and manufacturing.
What’s Next
The NBS is expected to release the Q1 2026 Capital Importation report in June. The Central Bank of Nigeria’s next Monetary Policy Committee meeting in May will influence interest rates and could shape further portfolio flows. Full-year 2025 performance already positions Nigeria for its strongest annual inflows in years, with market watchers tracking how these funds translate into naira liquidity and real-sector lending.
The Bottom Line:
The Q4 surge caps a strong 2025 for capital inflows and signals that reforms are attracting fresh money. However, the overwhelming reliance on portfolio investment rather than FDI means policymakers must now focus on converting market confidence into lasting investments that create jobs and build productive capacity beyond the banking system.
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