Foreign capital inflows into Nigeria rose to $20.98 billion in the first ten months of 2025, marking a 70 percent increase over total inflows for 2024 and a dramatic 428 percent jump from the $3.9 billion recorded in 2023, according to Central Bank of Nigeria (CBN) governor Olayemi Cardoso.
Cardoso announced the surge at the 60th annual bankers’ dinner of the Chartered Institute of Bankers of Nigeria (CIBN) in Lagos, attributing the growth to structural reforms aimed at restoring order, transparency, and price discovery in the foreign exchange market.
A key milestone he highlighted was Nigeria’s exit from the Financial Action Task Force (FATF) grey list — a development he said has reduced compliance frictions for correspondent banks and bolstered international investor confidence.
Cardoso said the inflows reflect more than short-term capital; they signal renewed trust in Nigeria’s macroeconomic management. He cited reforms such as exchange-rate unification, new electronic FX systems, and an FX market conduct code as factors stabilizing the naira and making cross-border finance more predictable.
He emphasized that the CBN’s aim is not simply to attract capital but to strengthen the financial system. The bank is redesigning Nigeria’s credit-risk framework and recapitalizing the banking sector to ensure long-term resilience.
Beyond Oil: A More Diversified Outlook
Cardoso said part of the optimism stems from Nigeria’s ongoing shift away from dependence on oil. Non-oil sectors are beginning to account for a growing share of exports and revenue, he noted.
He added that foreign exchange reserves are being rebuilt organically — not through external borrowing, but through improved FX market functioning, stronger non-oil exports, and rising capital inflows.
