The Central Bank of Nigeria has announced a balance of payments surplus of $6.83 billion for the 2024 financial year.

According to a statement by CBN, this marks a decisive turnaround from deficits of $3.34 billion in 2023 and $3.32 billion in 2022.

It said the improvement reflected the impact of wide-ranging macroeconomic reforms, stronger trade performance, and
renewed investor confidence in Nigeria’s economy.

“The current and capital account recorded a surplus of $17.22 billion in 2024, underpinned by a goods trade surplus of $13.17 billion. Petroleum imports declined by 23.2 per cent to $14.06 billion, while non-oil imports dropped by 12.6 per cent to $25.74 billion.

“On the export side, gas exports rose by 48.3 per cent to $8.66 billion, and non-oil exports increased by 24.6 per cent to $7.46 billion,” CBN explained.

It said remittance inflows remained resilient, with personal remittances rising by 8.9 per cent to $20.93 billion. CBN added that International Money Transfer Operator inflows surged by 43.5 per cent to $4.73 billion, up from $3.30 billion in 2023, reflecting stronger engagement from the Nigerian diaspora.

The apex bank also mentioned that official development assistance rose by 6.2 per cent to $3.37 billion, disclosing that Nigeria recorded a net acquisition of financial assets totalling $12.12 billion, with portfolio investment inflows more than doubled, increasing by 106.5 per cent to $13.35 billion, while resident foreign currency holdings grew by $5.41 billion, indicating stronger confidence in domestic economic stability.

The CBN said that although foreign direct investments dropped by 42.3 per cent to $1.08 billion, the overall financial account posted notable gains.

It added that the country’s external reserves increased by $6.0 billion to $40.19 billion by year-end 2024, bolstering its external buffer.

“Marked improvement in data integrity notably, net errors and omissions narrowed significantly by 79.5 per cent to negative $5.10 billion in 2024, down from $24.90 billion in 2023. This reflects substantial improvements
in data availability and capture, representing a major advance in data accuracy, transparency, and overall reporting integrity,” CBN said.

It also stated that the 2024 BOP surplus highlighted the effectiveness of Nigeria’s ongoing reform agenda.

According to the apex bank, the liberalisation and unification of the foreign exchange market, a disciplined monetary policy approach to managing inflation and stabilising the naira, and coordinated fiscal and monetary measures have all contributed to enhanced competitiveness and investor sentiment.

Meanwhile, CBN governor Yemi Cardoso said the positive turnaround in the country’s external finances was evidence of effective policy implementation and unwavering commitment to macroeconomic stability.

Mr Cardoso said this surplus marked an important step forward for Nigeria’s economy, benefiting investors, businesses, and everyday Nigerians.

(NAN)