Foreign capital inflows into Nigeria’s banking sector surged by 93.25 per cent year-on-year to $13.53bn in 2025, up from $7.00bn recorded in 2024, amid the ongoing recapitalisation drive by the Central Bank of Nigeria (CBN).
Data from the National Bureau of Statistics capital importation report showed that the banking sector remained the largest destination for foreign capital, accounting for $13.53bn out of the total $23.22bn recorded in 2025. This represents 58.26 per cent of total inflows, slightly higher than the 56.81 per cent recorded in 2024.
The sharp increase reflects growing investor interest in Nigerian banks as they raise fresh capital to meet new regulatory thresholds introduced by the apex bank. Industry-wide recapitalisation activities drove strong inflows across all four quarters of the year.
A breakdown of the data showed that inflows into the banking sector were robust throughout 2025. In the first quarter, inflows reached $3.13bn, marking a 51.3 per cent increase from $2.07bn recorded during the same period in 2024.
In the second quarter, inflows climbed to $3.41bn, representing a 203.2 per cent jump from $1.12bn recorded in Q2 2024. The third quarter saw inflows of $3.14bn, a significant 442.2 per cent rise from $579.48m in the corresponding quarter of 2024.
The fourth quarter recorded $3.85bn in banking inflows, reflecting a 19.2 per cent increase from the $3.23bn reported in the same period a year earlier.
Further analysis showed that the banking sector maintained a dominant share of total capital importation throughout 2025. It accounted for 55.44 per cent in the first quarter, rose to 66.56 per cent in the second quarter, moderated to 52.25 per cent in the third quarter, and increased again to 59.75 per cent in the fourth quarter.
This compares with 61.24 per cent, 43.15 per cent, 46.26 per cent, and 63.46 per cent recorded in the corresponding quarters of 2024.
In contrast, capital inflows into shares declined year-on-year, falling by 16.8 per cent to $271.42m in 2025 from $326.04m in 2024.
Quarterly data showed mixed trends in share investments. Inflows rose to $115.26m in Q1 from $98.71m recorded in the same period of 2024, but dropped sharply in Q2 to $33.47m from $78.01m.
The third quarter recorded a recovery to $94.89m from $43.75m in 2024, while the fourth quarter saw a sharp decline to $27.79m compared with $105.57m in the same period of the previous year.
Meanwhile, financing-related inflows recorded a substantial increase, rising by 424.9 per cent to $6.77bn in 2025 from $1.29bn in 2024.
The growth was driven by strong inflows across all quarters, particularly in the first quarter where financing surged to $2.10bn from $75.55m. In the third quarter, financing inflows rose to $1.86bn from $294.55m.
The second and fourth quarters also recorded significant increases to $873.32m and $1.94bn, respectively, compared with $40.44m and $879.16m in 2024.
Overall, total capital importation into Nigeria grew by 88.5 per cent to $23.22bn in 2025, compared with $12.32bn recorded in 2024.
Quarterly figures showed that total inflows rose across all periods, with Q1 increasing to $5.64bn from $3.38bn, Q2 rising to $5.12bn from $2.60bn, Q3 climbing to $6.01bn from $1.25bn, and Q4 reaching $6.44bn from $5.09bn.
The data indicate that the banking sector not only attracted the largest share of foreign capital but also drove the overall growth in capital importation, supported by regulatory reforms and improved investor confidence.
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, earlier disclosed that 32 banks have already met the new capital requirements under the ongoing recapitalisation programme ahead of the March 31, 2026 deadline.
Speaking at a Monetary Policy Forum in Abuja, Cardoso said the recapitalisation exercise had recorded significant progress.
“The banking sector recapitalisation programme has recorded commendable progress, with 32 banks having already met the revised capital requirements,” he said.
He added that the development has strengthened the resilience of Nigeria’s banking system and positioned it to mobilise long-term capital to support economic growth.
The CBN previously disclosed that Nigerian banks attracted a total of N4.61tn in new capital under the recapitalisation programme, with about 27 per cent coming from foreign investors.
According to the apex bank, the initiative will help banks absorb economic shocks, support productive investments, and expand their operations across regional markets.
