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Q2:2023 Capital Importation Report | Structural Issues Continue to Constrain Capital Inflow

Recently, the National Bureau of Statistics published its Capital Importation data for Q2:2023. On a year-on-year (YoY) basis, total Capital Imported dipped by 32.90% to USD1.03bn in Q2:2023 compared to USD1.16bn imported in Q2:2022. This reflects significant decline in two of its major components, Foreign Direct Investment (-41.54% YoY to USD86.03mn) and Foreign Portfolio Investment (-85.89% YoY to USD106.85). However, its third component, Other Investment (+32.73% YoY to USD837.34mn) increased in the period. 

On a quarter-on-quarter (QoQ) basis, the story remains unchanged as total Capital Imported fell by 9.04%, following an 83.54% QoQ plunge in FPI. However, we note that the growth in FDI (+80.71% QoQ) and Other Investment (+92.16% QoQ) helped to minimize the QoQ decline in total capital imported.

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ARM Securities Limited
ARM Securities Limited

ARM Securities Limited is a full-service brokerage house that offers best-in-class brokerage services to local as well as foreign private and institutional investors. Formerly known as Hamilton Hammer, the Company commenced operation in 1994 and was acquired by ARM Investment Managers in 2008--an acquisition which has successfully re-positioned the company as a recognized brokerage firm in Nigeria. The Company is a dealing member of the Nigerian Stock Exchange (NSE) and is regulated by Securities and Exchange Commission (SEC). ARM Securities research team provides insightful commentaries on the Nigerian economy and its equity and debt markets using an approach which incorporates a thorough understanding of the fundamentals of the industries and companies under coverage. The research therefore adopts an integrated methodology of top-down analysis and bottom-up stock selection, which focuses on publicly quoted companies on the Nigerian Stock Exchange that are judged to offer the highest potential for earnings growth. In addition, its analysts provide periodic commentaries on a range of topical global and local issues which provide investing clients with a holistic view of the opportunities and risks in today’s financial market landscape. ​

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