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RipplesMetrics: Nigerian economy attracts $35bn foreign investment in 3 years but 10 states get nothing

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RipplesMetrics: Nigerian economy attracts $35bn foreign investment in 3 years but 10 states get nothing

In the last six years, attracting investment inflows into the country has become one of prayers and hope.

State governors who badly need these investments to guarantee the proper running of all ministries, departments, and agencies in their states have had to rely heavily on debt and the monthly allocation from the federal government.

Data obtained from National Bureau of Statistics show that from first quarter of 2019 to third quarter 2021, inflows in form of capital importation have dropped significantly by 79.65 percent.

RipplesMetrics: Nigerian economy attracts $35bn foreign investment in 3 years but 10 states get nothing

According to NBS, the states in 2019 recorded $23.99 billion dollar inflows. The breakdown shows: Q1($8.5bn), Q2($6.05bn), Q3($5.2bn) and Q4(3.8bn).

The inflow dropped significantly in 2020 to $9.65 billion as the global economy went on a stand still due to COVID-19.

Read also: RipplesMetrics: In chart, Nigeria’s debt to China; amount paid, left to pay and projects

While economic recovery in 2021 was expected to boost investor confidence, the opposite has been the case.

In the first three quarters of 2021(9 months), only a total of $4.15 billion came into the country by way of foreign direct investment. The breakdown shows $1.90 billion came in first quarter, dropping to $875 million in second quarter and $1.73 billion in the third quarter.

States performance in 2021

RipplesMetrics: Nigerian economy attracts $35bn foreign investment in 3 years but 10 states get nothing

In 2021, only nine states, Abuja inclusive, attracted investment. They are Lagos, Abia, Abuja, Anambra, Delta, Kaduna, Kano, Kwara, Ogun.

Lagos state was the top destination of capital investment in Nigeria in Q3 2021, with $1.48 billion accounting for 85.57% of total capital investment in Nigeria in the period under review.

This was followed by investment into Abuja (FCT) valued at $249.19 million (14.39%).

NBS report also showed that in the last 3 years, Bayelsa, Ebonyi, Ekiti, Gombe, Jigawa, Kebbi, Kogi, Plateau, Taraba, Yobe, Zamfara have all failed to attract a dollar as investment!

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