CBN: Petroleum imports declined 23.2%, non-oil imports fell 12.6% in 2024

The Central Bank of Nigeria (CBN) has announced a balance of payments (BOP) surplus of $6.83 billion for the 2024 financial year.

The BOP is a record of all financial transactions made between a country and the rest of the world over a specific period—usually a year or a quarter.

CBN, in a statement signed on Wednesday by Hakama Sidi-Ali, its acting director of corporate communication, said the balance of payments in 2024 represents a surplus compared to the deficit of $3.34 billion recorded in 2023 and $3.32 billion in 2022.

The apex bank said the improvement reflects the impact of wide-ranging macroeconomic reforms, stronger trade performance, and renewed investor confidence in Nigeria’s economy.

According to the CBN, the current and capital accounts recorded a surplus of $17.22 billion in 2024, driven largely by a goods trade surplus of $13.17 billion.

“Petroleum imports declined by 23.2% to $14.06 billion, while non-oil imports fell by 12.6% to $25.74 billion,” CBN said.

The decline in petroleum products imports occurred the same year Dangote Petroleum Refinery commenced petrol production, providing oil marketers an alternative to importation.

Dangote refinery began to sell petrol to the Nigerian market on September 20.

On the export side, CBN said gas exports rose by 48.3 percent to $8.66 billion, while non-oil exports increased by 24.6 percent to $7.46 billion.

“Remittance inflows remained resilient, with personal remittances rising by 8.9% to $20.93 billion. International Money Transfer Operator (IMTO) inflows surged by 43.5% to $4.73 billion, up from $3.30 billion in 2023, reflecting stronger engagement from the Nigerian diaspora,” CBN said.

“Official development assistance also rose by 6.2% to $3.37 billion.”

More so, the apex bank said Nigeria recorded a net acquisition of financial assets totalling $12.12 billion.

“Portfolio investment inflows more than doubled, increasing by 106.5% to $13.35 billion, while resident foreign currency holdings grew by $5.41 billion, indicating stronger confidence in domestic economic stability,” the apex bank said.

“Although foreign direct investment fell by 42.3% to $1.08 billion, the overall financial account posted notable gains.”

EXTERNAL RESERVES INCREASED TO $40.19 BILLION

CBN also reported that the country’s external reserves increased by $6.0 billion to $40.19 billion by year-end 2024, further strengthening its external buffer.

According to the financial regulator, net errors and omissions narrowed significantly by 79.5 percent to negative $5.10 billion in 2024 – down from $24.90 billion in 2023,

The development, the apex bank said, reflects progress in data capture, transparency, and reporting integrity.

Commenting on the report, Olayemi Cardoso, governor of CBN, said the positive turnaround in “our external finances is evidence of effective policy implementation and our unwavering commitment to macroeconomic stability”.

Carsoso also said the surplus marks an important step forward for Nigeria’s economy, benefiting investors, businesses, and everyday Nigerians alike.