Capital Importation into the Nigerian economy declined in the fourth quarter of 2018, both on a quarterly basis and year-on-year, according to a report by state-funded data agency, the National Bureau of Statistics, as investors took flight on the back of election risks.
The report released Wednesday show that the total value of capital importation into Nigeria stood at $2.14 billion in the fourth quarter of 2018, a decrease of 25.05% compared to Q3 2018 and a 60.24% decline compared to the fourth quarter of 2017.
The data also reveal that the total value of capital importation into Nigeria for full year 2018 rose by 37.49 percent from $12.23 billion in 2017 to $16.8 billion in 2018.
The largest amount of capital importation by type in 2018 was received through Portfolio investment, which accounted for 70.20% ($11.8 billion) of total capital imported, followed by Other Investment, which accounted for 22.69% ($3.8 billion) of total capital, and then Foreign Direct Investment FDI, which accounted for 7.11% ($1.19 billion).
By sector, Capital importation by shares, which is closely, related to Equity investment (FDI and Portfolio Investment) dominated 2018 reaching $10,425.18 of the total capital Importation in 2018.
The United Kingdom emerged as the top source of capital investment in Nigeria in 2018 with $6.01 billion. This accounted for 35.74% of the total capital inflow in 2018.
