The total value of capital imported into Nigeria in the second quarter of 2017 was estimated to be $1,792.3 million, the National Bureau of Statistics(NBS) in its latest report has said.
In the report, the figure was $884.1 million more than the figure recorded in q1 2017, a growth of 95.02percent.
Year on year, this was an increase of 43.6percent from the $1,042.2 million 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 ($616.5 million), followed by June with $612.6million and May with $563.3 million.
The report said the main driver of the quarterly growth in capital importation in the second quarter was Portfolio Investments, which increased by 145.7 percent, followed by other Investments, which grew by 95.02 percent, and then Foreign Direct Investment (FDI), which increased by 29.8 percent over the previous quarter.
Capital Importation can be divided into three main investment types: Foreign Direct Investment (FDI), Portfolio Investment and Other Investments, each comprising various sub-categories. Portfolio Investment was the largest component of imported capital in the second quarter of 2017, and accounted for $770.5 million, or 43.0% of the total. This was closely followed by Other Investments, which accounted for $747.5 million, or 41.7%, and then FDI, which accounted for $274.4 or 15.3% during the quarter.
A year on year comparison of the three investment types indicate that Portfolio Investments increased by 128.4%, from the $337.3 million recorded in second quarter of 2016. Other Investments also increased by 43.6%, from the $520.6 million reported in the same quarter of 2016, while FDI grew by 48.9%, from $184.3 million.
The total amount of FDI recorded during the quarter was $274.4 million, this was an increase of 29.8% over the previous quarter and a 48.9% increase over the same period of 2016. Equity investments accounted for the majority of total FDI imported in the second quarter of 2017, accounting for 99.9 percent ($274.1 million) of total FDI and increasing by 30.5% over the last quarter.
On the other hand, Other Capital under FDI accounted for the balance of 0.1percent ($300,000) of total FDI, falling by 76.6 over the previous quarter.
The second quarter recorded an estimated $770.51million in portfolio investments. This figure was 145.7% higher than the amount reported in the first quarter of the year, and 128.4% higher than the amount reported in the same period of 2016.
A look at the composition of portfolio investments show that Equities recorded the largest share, accounting for 79.7% ($614.05 million) of the total, this was followed by Money Market Instruments, which accounted for 12.8% ($98.6 million), while Bonds accounted for 7.5% ($57.9 million).
