Foreign direct investment into Nigeria climbed sharply to 720 million dollars in the third quarter of 2025, marking the country’s strongest quarterly performance this year and a significant turnaround from subdued inflows earlier in the year.
Figures from the Central Bank of Nigeria’s Balance of Payments data show the inflow jumped from just 90 million dollars in the second quarter, representing a sevenfold increase. Compared with the same period in 2024, FDI was also higher than the 570 million dollars recorded a year earlier.
The rebound came alongside broader improvements in Nigeria’s external position. The country posted a balance of payments surplus of 4.6 billion dollars in the quarter, while external reserves rose to 42.77 billion dollars by the end of September from 37.81 billion dollars at the end of June. The financial account also shifted into a net lending position, reflecting stronger accumulation of external assets.
While portfolio investments moderated during the quarter, the rise in long term equity type inflows suggests a gradual return of investor confidence, as FDI is typically viewed as more stable than short term capital.
The News Chronicle understands that the improvement in investment flows was supported by stronger oil and refined product exports, steady diaspora remittances and improved foreign exchange liquidity, all of which helped stabilise market expectations.
Although FDI levels remain below Nigeria’s long term potential, the Q3 performance signals renewed interest by foreign investors following recent macroeconomic and FX market reforms.
