Nigeria experienced a significant increase in net foreign exchange inflow, reaching $17.39 billion in the fourth quarter of 2024.
Gatekeepers News reports that this growth was largely attributed to autonomous sources, including foreign investments, remittances, and export earnings.
According to the latest Quarterly Economic Report from the Central Bank of Nigeria (CBN), the enhanced liquidity in the forex market is evident from this increase. The CBN reported that the country’s total foreign exchange inflow rose by 20.62%, climbing from $23.06 billion in the third quarter of 2024 to $27.81 billion in the fourth quarter.
A major contributor to this growth was a remarkable 47.55% increase in autonomous inflows, which surged from $11.03 billion in Q3 2024 to $16.27 billion in Q4 2024, as highlighted by the CBN.
Conversely, inflows through the CBN saw a slight decline, decreasing by 4.05% from $12.03 billion in the previous quarter to $11.54 billion. This drop may indicate a reduction in official forex receipts, potentially linked to lower remittances, foreign direct investment, or official grants.
Additionally, the economy witnessed a notable rise in foreign exchange outflows, which increased by 31.37% to $10.42 billion in the fourth quarter compared to the third quarter of 2024. Outflows through the CBN rose by 22.98%, reaching $8.99 billion, while those from autonomous sources experienced a dramatic surge of 129.59%, totaling $1.43 billion.
“Consequently, net foreign exchange inflow through the economy increased by 14.99 per cent to US$17.39 billion from US$15.13 billion in the preceding quarter. An increase was also recorded in net inflow through autonomous sources to US$14.84 billion from US$10.40 billion in the preceding quarter. A net inflow of US$2.56 billion was recorded through the Bank, compared with a net inflow of US$4.72 billion in Q32024,” CBN noted.
