ABUJA, Dec. 30, 2025 (Naija247news) – Nigeria’s financial interactions with the rest of the world strengthened significantly in the third quarter of 2025 (Q3’25), as the country recorded a Balance of Payments (BOP) surplus of $4.60 billion, reversing the $0.27 billion deficit posted in Q2’25, the Central Bank of Nigeria (CBN) disclosed.
The surplus indicates that Nigeria received more foreign funds than it spent during the quarter, underpinned by rising external reserves and improved management of financial flows, even as earnings from regular trade and income softened.
Financial Account Leads Recovery
The BOP turnaround was largely driven by the financial account, which tracks investments, loans, and savings between Nigeria and other countries. While Nigeria was a net borrower of $6.9 billion in Q2’25, it became a net lender in Q3’25, with net lending of $0.32 billion, reflecting an accumulation of foreign assets.
External reserves strengthened from $37.81 billion in June to $42.77 billion in September, bolstering Nigeria’s foreign savings buffer.
Foreign investment flows were mixed. Short-term foreign portfolio investments fell sharply to $2.51 billion from $5.28 billion in Q2’25, indicating weaker investor appetite, but long-term foreign direct investment surged to $0.72 billion from $0.09 billion, suggesting renewed confidence in Nigeria’s longer-term investment climate.
Goods Trade Supports External Position
Trade in goods continued to underpin Nigeria’s external position. The goods account recorded a surplus of $4.94 billion, slightly lower than Q2’25’s $5.28 billion but higher than the same quarter last year.
Exports rose to $15.24 billion, led by crude oil and refined petroleum products, with crude oil earnings at $8.45 billion and refined fuel exports at $2.29 billion. Imports of refined fuel fell by 12.7 per cent to $1.65 billion, reflecting gains from local refining. However, rising imports of machinery, raw materials, and consumer goods limited overall trade surplus growth.
Current Account Weakens Despite BOP Gains
Despite the strong overall BOP, Nigeria’s current account surplus shrank by 41.14 per cent to $3.42 billion from $5.81 billion in Q2’25, due to higher payments to foreign investors and increased spending on services, including transport, travel, and insurance.
Diaspora remittances remained robust at $5.24 billion, providing a stabilizing cushion for the economy.
Emman Tochi ✔
Emma Tochi is Naija247news Media Northern Bureau Chief, he's based in FCT Abuja. He overseas the northern operations of this business media
View Archive →
