Q4 2021 recorded the highest value for capital importation for the year as the country’s inflow increased to $2.19 billion. The total capital importation value into Nigeria for Q4 2021 at $2.19 billion made up 32.6% of the total capital importation value of the year.
Q4 2021 value represented a 26.4% increase from $1.73 billion in Q3 2021. Comparing Q4 2021 to the corresponding quarter of the previous year, capital importation increased by 109.3% from $1.05 billion.
The top five countries of origin of capital importation into Nigeria make up a $1.38 billion accounting for 63.28% of the total value for Q4 2021. Mauritius was the top source of capital imported into Nigeria in the fourth quarter of 2021, with a value of $611.45 Million, making up 28% of the total for Q4 2021.
The United States of America was next with a value of $321.03 Million(14.7%) and the Republic of South Africa with a value of $285.83 Million (13.1%) as the second and third respectively. The Netherlands was the fourth country with a value of $228.02 Million (10.4%) and Singapore with a value of $223.82 Million (10.2%) was the fifth.
In the fourth quarter of 2021, Lagos state remained the top destination for capital importation with capital inflow of $1.98 billion which accounts for 90.7% of the total investment in Nigeria. This was an increase from Q3 2021 as lagos had a total of $1.48 billion in that quarter. Investment into Abuja followed with capital inflow of $170.55 million making up 7.8% of the total. The top 2 states made up 98.5% of the total capital inflow for the quarter.
Capital importation is essential to an economic growth as it enables rapid investment, allowing investors to maximize their profits and diversify their risks while also helping to a country’s economic progress.