The total value of capital importation into Nigeria dropped to $1.29 billion in the second quarter of 2020 from the $5.854 billion reported in the first quarter of 2020, latest data from the National Bureau of Statistics shows.
The NBS in its Q2 2020 Nigerian Capital Importation report released on Friday, the decrease by 77.88% was largely contributed by the Covid-19 pandemic and measures imposed globally to contain the spread of the virus.
According to the report, portfolio investment which had always performed well in previous quarters fell to the second-largest amount of importation by type, declining by 29.76% to $385.32 million.
“The total value of capital importation into Nigeria stood at $1,294.94m in the second quarter of 2020. This represents a decrease of -77.88% compared to Q1 2020 and -78.60% in Q2 2019.
“The largest amount of capital importation by type was received through Other investment, which accounted for 58.77% ($761.03m) of total capital imported, followed by Portfolio Investment, which accounted for 29.76% ($385.32m) and Foreign Direct Investment (FDI), which accounted for 11.47% ($148.59m) of total capital imported in Q2 2020
According to the report, United Kingdom retained the top source of capital investment in Nigeria in the review quarter, with $428.83 million, accounting for 33.12% of the total capital inflow in Q2 2020.
“By Destination of Investment, Lagos state emerged as the top destination of capital investment in Nigeria in Q2 2020 with $1,130.49m. This accounted for 87.30% of the total capital inflow in Q2 2020.
“By Bank, Standard Chartered Bank Nigeria Limited emerged at the top of capital investment in Nigeria in Q2 2020 with $425.21m. This accounted for 32.84% of the total capital inflow in Q2 2020,” the report stated.