CBN Reports $6.83 Billion Balance Of Payments Surplus In 2024

After two consecutive years of external deficits, the Central Bank of Nigeria (CBN) has announced a significant turnaround—posting a Balance of Payments (BOP) surplus of $6.83 billion for the 2024 financial year.

This positive result marks a sharp reversal from the deficits of $3.34 billion and $3.32 billion recorded in 2023 and 2022, respectively. The Balance of Payments is a key financial statement that captures all economic transactions between Nigeria and the rest of the world, including trade, investment flows, and remittances. It is broadly divided into two main components: the current account and the capital and financial account.

In a statement released Wednesday by the CBN’s Acting Director of Corporate Communications, Mrs. Hakama Sidi-Ali, the apex bank attributed the surplus to strong macroeconomic reforms, improved trade performance, and growing investor confidence.

According to the report, the current and capital accounts posted a combined surplus of $17.22 billion, driven largely by a strong trade performance. Nigeria recorded a goods trade surplus of $13.17 billion, supported by a significant decline in imports. Petroleum imports fell by 23.2% to $14.06 billion, while non-oil imports dropped by 12.6% to $25.74 billion.

On the export side, gas exports surged by 48.3% to $8.66 billion, while non-oil exports rose by 24.6% to $7.46 billion—highlighting progress in export diversification and stronger global demand for Nigerian products.

Personal remittances also played a key role in the surplus. Inflows rose by 8.9% to $20.93 billion, with money transfers through International Money Transfer Operators (IMTOs) increasing by 43.5% to $4.73 billion—up from $3.30 billion in 2023. Official development assistance also increased by 6.2%, totaling $3.37 billion.

The financial account showed further positive developments. Nigeria added a net $12.12 billion in financial assets in 2024. Portfolio investments more than doubled, increasing by 106.5% to $13.35 billion, while resident foreign currency holdings rose by $5.41 billion—demonstrating rising confidence in Nigeria’s financial landscape. However, foreign direct investment (FDI) declined by 42.3% to $1.08 billion, a trend acknowledged by the CBN even as other components of the financial account showed strength.

As a result of these gains, Nigeria’s external reserves rose by $6.0 billion, ending the year at $40.19 billion. This bolstered the nation’s foreign exchange reserves and improved its capacity to withstand external economic shocks.

Another notable achievement in 2024 was the sharp reduction in net errors and omissions in the BOP account—an indicator of untracked financial flows. The figure dropped by 79.5% to negative $5.10 billion, down from $24.90 billion in 2023. The CBN attributed this improvement to enhanced data collection systems, better reporting infrastructure, and increased transparency in cross-border financial transactions.

Commenting on the development, Mrs. Sidi-Ali credited the improvement to Nigeria’s ongoing economic reforms, including the unification of exchange rates, tighter monetary policies aimed at controlling inflation and stabilizing the naira, and better coordination between fiscal and monetary authorities.

“This surplus marks an important step forward for Nigeria’s economy, benefiting investors, businesses, and everyday Nigerians alike,” she said.

The 2024 BOP surplus provides a stronger platform for policymakers to drive economic growth while maintaining external stability. It also sends a clear signal to local and international stakeholders that Nigeria is on a path of economic recovery and strengthening its external position.

With sustained focus on expanding exports, attracting investment, and ensuring macroeconomic stability, the CBN believes Nigeria is well-positioned to consolidate the gains achieved in 2024.

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