Nigeria Achieves $6.83 Billion Balance of Payments Surplus in 2024 as Economic Reforms Bear Fruit

Nigeria Records $6.83 Billion Balance of Payments Surplus in 2024, Reflecting Economic Rebound and Renewed Investor Confidence

The Central Bank of Nigeria (CBN) has reported a significant milestone in the nation’s economic trajectory—posting a Balance of Payments (BOP) surplus of $6.83 billion for the 2024 financial year. This marks a dramatic turnaround from a deficit of $3.34 billion in 2023 and $3.32 billion in 2022, underscoring the effectiveness of recent economic reforms and growing investor confidence in Nigeria’s financial future.

According to Mrs. Hakama Sidi Ali, Acting Director of Corporate Communications at the CBN, the surplus is a direct result of stronger trade performance, reduced imports, and a more stable macroeconomic environment.

Robust Trade and External Account Performance

In 2024, Nigeria’s current and capital account recorded a surplus of $17.22 billion, driven primarily by a positive goods trade balance of $13.17 billion. Petroleum imports dropped sharply by 23.2% to $14.06 billion, while non-oil imports fell by 12.6% to $25.74 billion, reflecting greater self-sufficiency and efficient demand management.

On the export side, gas exports soared by 48.3% to $8.66 billion, while non-oil exports rose by 24.6% to $7.46 billion—highlighting the country’s commitment to diversifying its revenue base.

Remittance inflows also remained strong, with personal remittances increasing by 8.9% to $20.93 billion. International Money Transfer Operator (IMTO) inflows grew even more impressively, rising by 43.5% to $4.73 billion, up from $3.30 billion in 2023. Additionally, official development assistance climbed by 6.2% to $3.37 billion.

Improved Financial Account and Strengthened Reserves

In the financial account, Nigeria recorded a net acquisition of financial assets worth $12.12 billion. Portfolio investment inflows more than doubled, surging by 106.5% to $13.35 billion. Resident foreign currency holdings also rose by $5.41 billion, signaling enhanced confidence in domestic financial instruments.

Although foreign direct investment declined by 42.3% to $1.08 billion, the overall financial account remained positive, buoyed by increased short- and medium-term investments.

Meanwhile, Nigeria’s external reserves expanded by $6 billion, reaching $40.19 billion by the end of 2024—providing a robust cushion against future external shocks.

Greater Accuracy and Transparency in Data

The CBN also noted a remarkable improvement in statistical reporting. Net errors and omissions, which often reflect gaps in data accuracy, fell by 79.5% to -$5.10 billion in 2024, compared to -$24.90 billion in 2023. This development points to stronger data integrity and enhanced transparency in Nigeria’s economic reporting framework.

Policy Impact and Economic Outlook

The BOP surplus reflects the positive impact of the Nigerian government’s reform agenda

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