Business
CBN Announces N1.68trn Drop in Capital Importation
Foreign investors appear to have boycotted the Nigerian market as capital importation has dropped by $4.08bn (N1.68trn) in one year, latest statistics have shown
Between January and September 2020, total capital importation amounted to $8.55bn, data from the National Bureau of Statistics revealed.
However, according to the latest capital importation report by the NBS, during the same period in 2021, foreign capital inflows into the country fell by $4.08bn (N1.68tn) to $4.47bn.
A breakdown of the 2020 figures shows that in the first quarter of 2020, capital importation into Nigeria stood at $5.85bn, representing an increase of 53.97 per cent compared to Q4 2019.
During this period, Foreign Portfolio Investment contributed the largest amount to capital inflows, accounting for $4.31bn or 73.61 per cent of the total capital importation, followed by ‘other investments’, which accounted for $1.33bn or 22.73 per cent; then the Foreign Direct Investment which accounted for 3.66 per cent or $214.25m.
In terms of sectors, the banking industry led the chart by contributing $2.99bn to the total capital importation in Q1 2020.
In the second quarter of 2020, the aggregate capital inflow fell by 77.8 per cent to $1.29bn when compared to the preceding quarter.
“The largest amount of capital importation by type was received through ‘other investments’, which accounted for 58.77 per cent ($761.03m) of the total capital imported, followed by FPI which accounted for 29.76 per cent ($385.32m); and then the FDI which accounted for 11.47 per cent ($148.59m) of the total capital imported in Q2 2020,” the NBS said.
By sector, capital importation by shares dominated in the second quarter of 2020 reaching $464.57m of the total capital importation.
Capital importation, however, rose to $1.56bn in the third quarter of 2020, representing an increase of 12.86 per cent compared to Q2 2020.
The rise in capital inflows in Q3 was driven mainly by other kinds of investments besides the FDI and the FPI, the NBS said.
According to the bureau, ‘other investments’ accounted for 43.75 per cent ($639.44m) of the total capital importation, while the FDI and the FPI contributed $414.79m and $407.25m, respectively.
Further analysis showed that in Q1 2021, the total value of capital importation was $1.90bn which represented a decline of $3.95bn when compared to the same quarter in 2020.
Capital importation, however, declined to $875.62m in Q2 201, representing a decrease of $415m compared to the $1.29bn recorded in Q2 2020.
The NBS said that, “The largest amount of capital importation by type was received through portfolio investment, which accounted for 62.97 per cent ($551.37m) of total capital importation, followed by other investments, which accounted for 28.13 per cent ($246.27m) of total capital imported and the FDI, which accounted for 8.90 per cent ($77.97m) of total capital imported in Q2 2021.”
It added that by sector capital importation by banking dominated in Q2 2021 at $296.51m.
In Q3 2021, capital inflows rose by over 97 per cent to $1.73bn in Q3 2021 (quarter-on-quarter), and by 18.47 per cent (year-on-year).
Portfolio investment, which accounted for $1,217bn was the major driver of capital inflow in Q3, followed by other investments which accounted for $406.35m while the FDI amounted to $107.81m.
Responding to the development, the Managing Director, Cowry Asset Management, Johnson Chukwu, said that the likely cause of the decline was a decrease in the FPI, which is the major driver of capital importation.
He noted that portfolio investors might be discouraged to invest in the Nigerian market due to forex illiquidity.
He said, “The decline in capital importation has been consistent for the past three years if you look at the data.
“In 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.”
He expressed hope that the efforts of the Central Bank of Nigeria to meet FX demands and clear arrears would incentivize portfolio investors to return to the Nigerian market.
The Punch
Access Bank has been named Bank of the Year 2025 – Nigeria at the prestigious Banker Awards ceremony held in London on Wednesday, December 3, 2025. Organised annually by The Banker, a publication of the Financial Times Group, the awards celebrate the best-performing financial institutions across more than 120 countries, recognising excellence in innovation, financial performance, operational resilience, and industry leadership.
The announcement was made during a high-profile gala at the Peninsula Hotel in London, where leading global banks gathered to celebrate outstanding achievements in the international financial services sector. Access Bank emerged as the sole winner for Nigeria, reflecting the Bank’s exceptional performance, disciplined execution of strategy, and continued commitment to delivering world-class banking experiences.
Speaking on the recognition, Roosevelt Ogbonna, Managing Director/CEO, Access Bank, said: “This award reflects the remarkable dedication of our people and the trust of our customers. Being recognised as Bank of the Year 2025 – Nigeria is a strong validation of our strategy to build a globally connected, digitally powered, and sustainably driven banking institution.
We remain committed to delivering exceptional value across all our markets while contributing meaningfully to Africa’s economic advancement.”
Access Bank has continued to solidify its position as one of Africa’s most forward-thinking financial institutions, driven by innovation, customer-centricity, and strong corporate governance. The Bank’s strategic investments across digital transformation, trade finance, financial inclusion, and sustainable banking have positioned it as a leading force shaping Africa’s financial future.
These initiatives, coupled with its disciplined approach to growth and operational excellence, continue to set Access Bank apart within the continent’s rapidly evolving financial landscape.
Each year, The Banker undertakes a rigorous, five-month evaluation process involving more than 1,000 applications submitted by banks worldwide. Only one bank is selected per country, underscoring the exclusivity and prestige of the award. Access Bank’s victory therefore represents not only a recognition of its achievements over the past year but also a reaffirmation of its long-term commitment to driving innovation, supporting customers, and enabling a more connected African and global economy.
With operations spanning three continents and a customer base of more than 60 million, Access Bank continues to demonstrate its capability and ambition to shape the future of banking in Africa and contribute meaningfully to global financial progress.
About Access Bank
Access Bank, a wholly owned subsidiary of Access Holdings Plc, is a leading full-service commercial bank operating through a network of more than 700 branches and service outlets spanning 3 continents, 24 countries and over 60 million customers. The Bank employs over 28,000 people in its operations in Africa Asia and Europe, with representative offices in China, Lebanon, India, and the UAE.
Access Bank is a diversified financial institution which combines a strong retail customer franchise and digital platform with deep corporate banking expertise, proven risk management, and capital management capabilities.
The Bank services its various markets through three key business segments: Corporate and Investment Banking, Commercial Banking, and Retail Banking. The Bank has enjoyed what is Africa’s most successful banking growth trajectory in the last 20 years, becoming one of the continent’s largest retail banks. As part of its continued growth strategy,
Access Bank is focused on mainstreaming sustainable business practices into its operations. The Bank strives to deliver sustainable economic growth that is profitable, environmentally responsible, and socially relevant, helping customers to access more and achieve their dreams.
The Central Bank of Nigeria (CBN) has increased cash withdrawal limits on all channels to N500,000 weekly for individuals and N5 million for corporates.
Announcing the policy revision in a circular on Tuesday, the regulator pegged automated teller machine (ATM) withdrawals at N100,000 daily, with a weekly cumulative withdrawal of N500,000.
Fidelity Bank Plc has received the Straight-Through Processing (STP) Excellence Award from Citigroup in recognition of its outstanding operational efficiency in foreign currency payments in 2024.
STP refers to transactions processed accurately and without human intervention, resulting in a cost-effective and timely process. Fidelity Bank, which has consistently earned this award over the years, achieved an impressive 97%+ STP rate in concluding USD payments in the awarding period.
Citigroup, a leading global bank headquartered in New York and present in more than 160 countries, annually honors select banks and financial institutions that demonstrate the highest levels of efficiency in foreign currency transactions.
Dr. Nneka Onyeali-Ikpe,OON, Managing Director/Chief Executive Officer, Fidelity Bank Plc, attributed the achievement to customer trust and the team’s dedication.
“This award reflects the quality of initiatives we have implemented to simplify cross-border payments for our customers. It affirms our commitment to delivering cutting-edge services in servicing our valued customers,” said Dr. Onyeali-Ikpe.
The recognition adds to a growing list of accolades for Fidelity Bank especially in deploying innovative services and products in meeting customer needs. These include an award from the Nigeria Customs Service for being the first bank to successfully process Customs Duty and the Pre-Arrival Assessment Report (PAAR) on the Unified Customs Management System (UCMS). The bank also won Most Innovative Bank of the Year and Best Bank for Export and Trade Finance at the 2025 BusinessDay Bank and Other Financial Institutions’ (BAFI) Awards.
“We are delighted by this recognition and remain committed to providing seamless, value-adding services to our customers as we pursue our mandate to help individuals grow, support businesses to thrive and propel economies to prosper,” added Dr. Onyeali-Ikpe.
