Nigeria 4Q trade surplus NGN1.712T

Nigeria’s trade surplus in the fourth quarter of 2023 reached NGN1.703 trillion, marking the highest surplus since August 2014 and reflecting a significant improvement from NGN1.117 trillion in the same period of 2022. This outcome was driven by a 82.1% year-over-year increase in exports, which totaled NGN4.285 trillion, fueled by higher shipments of crude oil (+98.3%), other oil products (+74.7%), agricultural goods (+141.2%), and raw materials (+25.8%) according to Trading Economics. However, sales of manufactured products declined by 59.5% during the quarter.

Imports surged by 108.9% to NGN2.581 trillion, primarily due to increased purchases of manufactured products (+51.5%) and other oil products (+700%) according to Trading Economics. Despite the robust export growth, the trade surplus for 2023 as a whole was NGN44.8 billion, a decline from NGN1.206 trillion in 2022, as imports grew faster than exports over the year according to Trading Economics.

The Q4 2023 surplus followed a trade deficit of NGN1.415 trillion in the third quarter of 2023, underscoring volatility in Nigeria’s trade dynamics. The surge in crude oil exports remained a critical factor, aligning with broader trends of energy demand and global commodity prices. Analysts note that sustained non-oil export growth and import moderation will be key to maintaining a stable trade balance in future quarters.

Trading Economics, Nigeria Balance of Trade data: Trading Economics, Nigeria Balance of Trade data.