Nigeria Posts $6.83 Billion Balance of Payments Surplus in 2024
According to the Central Bank of Nigeria (CBN), Nigeria recorded a Balance of Payments (BoP) surplus of $6.83 billion in 2024, reversing deficits of $3.34 billion in 2023 and $3.32 billion in 2022.
This marks a significant improvement attributed to macroeconomic reforms, improved trade, and rising investor confidence. The current and capital account posted a surplus of $17.22 billion, driven by a goods trade surplus of $13.17 billion. Petroleum imports declined by 23.2% to $14.06 billion, while non-oil imports fell by 12.6% to $25.74 billion.
On the export side, gas exports increased by 48.3% to $8.66 billion, and non-oil exports rose by 24.6% to $7.46 billion. The financial account reported gains, with a net financial asset acquisition of $12.12 billion. Portfolio investments more than doubled to $13.35 billion, and resident foreign currency holdings increased by $5.41 billion. However, foreign direct investment (FDI) fell by 42.3% to $1.08 billion.
It is expected that a BoP surplus will result in a stronger currency and bigger foreign reserves, allowing for more investment and economic growth. To attain the rewards associated with the BoP surplus, the government must continue to modernise the economy and maintain stable forex policies to attract long-term capital and decrease external vulnerabilities.
