Capital inflows from the United Kingdom, the United States, South Africa, the United Arab Emirates, the Netherlands, and Mauritius hit $31.82billion in three years, according to the National Bureau of Statistics (NBS).
\nThe NBS data showed that the six countries accounted for 83.32per cent of the total capital of $38.18billion imported into Nigeria from over 100 countries from January 2019 to September 2021.
\nThe UK accounted for the highest foreign inflow of $17.34billion, followed by the US ($5.79billion), South Africa ($3.99billion), UAE ($1.80billion), Netherlands ($1.68billion), and Mauritius ($1.09billion).
\nAccording to the NBS, capital importation data is obtained from the Central Bank of Nigeria (CBN) and includes imported physical capital, such as equipment, and financial capital importation.
\nIt added that capital importation comprises three main investment categories, namely foreign direct investment, foreign portfolio investment, and other investments.
\nIt said FDI includes equity and other capital, while FPI includes equity, bonds, and money market instruments; \u2018other investments\u2019 include trade credits, loans, currency deposits, and other claims.
\nIn 2019, Capital inflow from the six countries declined from $20.09billion in 2019 to $7.94billion in 2020.
\nIt stood at $3.78billion in the nine months to September 2021.
\nThe Managing Director, Cowry Asset Management, Johnson Chukwu, attributed the drop in capital importation to the fall in FPI.
\nAccording to him, portfolio investors are probably discouraged to invest in the Nigerian market due to foreign exchange illiquidity.
\nHe said, \u201cThe decline in capital importation has been consistent for the past three years, if you look at the data.
\n\u201cIn terms of portfolio investment, which is the major component, I think the issue is that foreign portfolio investors have likely stayed away from the Nigerian market because of foreign exchange illiquidity, as some of the funds that are trapped are yet to be accessed.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Capital inflows from the United Kingdom, the United States, South Africa, the United Arab Emirates, the Netherlands, and Mauritius hit $31.82billion in three years, according to the National Bureau of Statistics (NBS). The NBS data showed that the six countries accounted for 83.32per cent of the total capital of $38.18billion imported into Nigeria from over […]<\/p>\n","protected":false},"author":1,"featured_media":285632,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[76],"tags":[688],"class_list":["post-285597","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","tag-front-pix"],"_links":{"self":[{"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/posts\/285597","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=285597"}],"version-history":[{"count":1,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/posts\/285597\/revisions"}],"predecessor-version":[{"id":285600,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/posts\/285597\/revisions\/285600"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=\/wp\/v2\/media\/285632"}],"wp:attachment":[{"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=285597"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=285597"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.thetidenewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=285597"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}