The National Bureau of Statistics (NBS) has said that African investors, excluding those from Nigeria, contributed a notable $285.11 million in foreign capital to Nigeria in the third quarter of 2024.
This contribution accounted for 22.76 per cent of the total foreign capital inflow into the country, highlighting the significant role played by African nations in the capital importation landscape.
An analysis of the latest capital importation report of the NBS noted a decline in Africa’s overall contribution compared to the second quarter of 2024 and the same period last year.
According to the report by Punch newspaper, the NBS data indicated that the total capital contribution from Africa in Q3 2024 amounted to $285.11m, a 43.73 per cent decline compared to Q2 2024, which recorded $506.68m.
On a year-on-year basis, Africa’s contribution also fell by 16.77 per cent from $342.55m in Q3 2023.
The key African contributors in Q3 2024 were Mauritius, the Republic of South Africa, Ghana, and Morocco.
Mauritius remained a significant source of foreign capital with an inflow of $97.63m, though this reflected a sharp decline of 61.05 per cent from the $250.70m recorded in Q2 2024.
The drop was even steeper year-on-year, with Mauritius contributing $226.18m in Q3 2023, marking a 56.85 per cent decline.
The Republic of South Africa contributed $185.03m in Q3 2024, representing a substantial year-on-year growth of 59.02 per cent compared to $116.37m in Q3 2023.
However, on a quarter-on-quarter basis, South Africa’s contribution fell by 27.73 per cent from the $255.98m recorded in Q2 2024.
Ghana contributed $2.35m in Q3 2024 for the first time in recent quarters, signalling a renewed interest from Ghanaian investors.
Morocco also emerged as a minor contributor, recording $0.10m in capital inflows during the period.
In contrast to the declining trends from other African countries, foreign capital inflow from Nigerian investors showed significant growth.
The country contributed $10.84m to its foreign capital inflows in Q3 2024, reflecting a remarkable increase of 261.33 per cent year-on-year from $3m in Q3 2023.
On a quarter-on-quarter basis, the foreign capital inflow from Nigerian investors surged by 198.63 per cent from $3.63m recorded in Q2 2024.
While Africa accounted for 22.76 per cent of Nigeria’s total capital inflow, the report highlighted significant contributions from other continents, particularly Europe, North America, and Asia.
Europe remained the largest contributor to Nigeria’s foreign capital, driven by inflows from the United Kingdom and the Netherlands.
The United Kingdom maintained its dominance with $502.6m in Q3 2024, though this marked a significant decline from $1.12bn recorded in Q2 2024.
The Netherlands also featured prominently, contributing $121.92m in Q3 2024.
However, this dropped sharply from $577.82m in Q2 2024, reflecting cautious investment trends.
From North America, the United States showed consistent growth, recording $163.86m in Q3 2024, up from $81.5 m in Q2 2024.
GIK/APA