Nigeria recorded a 17.6 per cent quarter-on-quarter increase in portfolio investment inflows, reaching $7.09 billion in the second quarter of 2026, up from $6.03 billion in the first quarter.

According to the Central Bank of Nigeria's (CBN) Q2 2026 Economic Report, the $1.06 billion increase was primarily driven by heightened investments in long-term general government debt securities.

Portfolio investments remained the largest component of newly incurred financial liabilities during the quarter, accounting for approximately 65 per cent of the total, down from 72 per cent in Q1 due to faster growth in other categories.

Direct investment liabilities rose to $1.15 billion from $1.03 billion. Meanwhile, other investment liabilities climbed to $2.75 billion from $1.36 billion, propelled by higher government and sector loan drawdowns alongside increased currency and deposit liabilities.

Overall, Nigeria’s net incurrence of financial liabilities rose to $10.84 billion in Q2, compared to $8.36 billion in the previous quarter.

Total foreign exchange inflows experienced a slight decline of 4.24 per cent, dropping to $30.03 billion in Q2 from $31.36 billion in Q1. A closer look at the data shows that autonomous foreign exchange inflows increased by 3.59 per cent to $21.91 billion, whereas inflows handled directly by the apex bank fell by 20.47 per cent to $8.12 billion.

Despite the slight dip in total FX inflows, Nigeria’s external reserves strengthened significantly, closing June 2026 at $51.39 billion compared to $48.35 billion at the end of March.

Additionally, the average Nigerian Foreign Exchange Market (NFEM) rate strengthened to 1,365.95 naira per dollar, improving from 1,384.48 naira per dollar in the first quarter.

ID