Forex Inflows Into Nigeria’s Economy Drop By 40% To $26bn

Foreign exchange in flows into Nigeria’s economy fell year-on-year (YoY) by 40 percent to $26.32 billion in the first 11 months of 2022 (11m’22), from $44.01 billion in the corresponding period of 2021.

Data from the Central Bank of Nigeria, CBN, Monthly Economic Report showed that aggregate foreign exchange inflow into the economy was $63.57 billion, representing a 26 percent decline compared with $86.34 billion in 11m’21.

The data also showed that foreign exchange outflow YoY fell by two percent to $37.2 billion in 11m’22, from $37.96 billion in 11m’21.

Outflows through the Central Bank of Nigeria, CBN, rose by 2.14 percent to $30 billion in 11m’22, from $29.37 billion in 11m’22.

In the report the CBN noted that on a monthly basis, net inflows through it rose by 16 percent to $2.02 billion in November 2022, from $1.74 billion in October 2022.

It stated: “Foreign exchange inflow through the Bank increased by 24.3 per cent to $2.00 billion, from US$1.61 billion in October, while outflow rose by 8.6 per cent to $2.38 billion, from $2.19 billion in October.

“Similarly, autonomous inflow increased by 15.6 per cent to US$3.01 billion, from $2.60 billion in the preceding month, while autonomous outflow also increased to $0.61 billion, from $0.28 billion in October.

“A net inflow of $2.39 billion was recorded through autonomous sources, compared with $2.32 billion in the preceding month.

“The CBN recorded a net outflow of $0.38 billion, compared with $0.58 billion in the preceding month.”