Portfolio pushed investment inflow by 95% to hit $1.7bn in Q2– NBS
More figures from the National Bureau of Statistics (NBS) have revealed that the economy witnessed high inflow of capital importation within the second quarter on 2017.
The latest report showed that investment inflows rose by 95.02 per cent from $884.1 million in the first quarter of this year to $1.79bn within the period under review.
However, NBS averred that majority of the investment stemmed from 146.7 per cent increase in Portfolio Investments, adding that Foreign Direct Investment (FDI), increased by 29.8 per cent over the previous quarter.
NBS said “The total value of capital imported into Nigeria in the second quarter of 2017 was estimated to be $1.792bn. This figure was $884.1m more than the figure recorded in Q1 2017, a growth of 95.02 per cent”.
“Year on year, this was an increase of 43.6 per cent from the $1.04bn recorded in Q2 of 2016. A month on month analysis of capital importation in the second quarter shows that the month of May recorded the highest of amount of capital importation ($616.5m), followed by June with $612.6m and May with $563.3m.
“The main driver of the quarterly growth in capital importation in the second quarter was Portfolio Investments, which increased by 145.7 per cent, followed by Other Investments, which grew by 95.02 per cent, and then Foreign Direct Investment, which increased by 29.8 per cent over the previous quarter”.
Portfolio Investment was the largest component of imported capital in the second quarter of 2017 and accounted for $770.5m, or 43 per cent respectively of the total.
Following portfolio investors are other investments, which accounted for $747.5m, or 41.7 per cent, and then FDI, which accounted for $274.4 or 15.3 per cent during the quarter.
“Lagos is the commercial and financial capital of Nigeria, and home to Nigeria’s Stock Exchange where shares are traded. As such, it accounts for most of the capital imported into the country,” NBS said.