Nigeria’s net foreign exchange flows rose to $22.50 billion in the second quarter of 2026, the strongest quarterly figure since the final quarter of 2019.
Central Bank of Nigeria data show the net position improved by 5.5 per cent from $21.33 billion in the first quarter. The gain came mainly from a sharper reduction in outflows rather than higher inflows.
Total FX inflows slipped from $32.39 billion in the first quarter to $31.43 billion in the second. Outflows fell more steeply, from $11.05 billion to $8.93 billion. The $2.12 billion drop in outflows more than offset the $960 million decline in inflows, lifting the net balance by $1.17 billion.
Monthly figures revealed a steady upward trend within the quarter. Net flows stood at $6.53 billion in April, rose to $7.91 billion in May and reached $8.06 billion in June, the strongest month of the period.
Despite the recovery, the second-quarter total remained well below the historical peak of $31.93 billion recorded in the third quarter of 2014 and lower than the $25.08 billion posted in the fourth quarter of 2019.
Autonomous sources transactions outside the central bank’s direct channels accounted for a substantial share of the net inflows. These channels recorded $6.70 billion in April, $5.70 billion in May and $6.74 billion in June. Flows through the CBN itself were more mixed, showing a small net outflow in April before turning positive in May and June.
The improvement coincided with a sharp rise in foreign portfolio investment. Portfolio inflows increased by 45 per cent to $6.51 billion in the second quarter from $4.49 billion in the first. While these funds add to available foreign currency and support market activity, they remain more mobile than longer-term capital.
Foreign direct investment, by contrast, has stayed weak. National Bureau of Statistics figures showed a sharp decline in FDI in the first quarter even as overall capital importation rose. The pattern points to greater reliance on shorter-term portfolio funds rather than more stable direct investment.
Sustained net FX inflows could ease pressure in the foreign exchange market and improve dollar liquidity. How durable the improvement proves will depend on whether inflows hold up, outflows remain contained and longer-term investment begins to recover.