Recent monthly economic reports of the Central Bank of Nigeria have shown that Net foreign exchange, forex, and inflow to the economy fell 47 per cent, year-on-year.

This is a drop to $25.05 billion in 10 months to the end of October last year.

The decline was driven by a 27 per cent fall in forex inflow into the economy and a 1.4  per cent increase in forex outflow into the economy during the period. 

CBN said that forex inflow into the economy dropped to $59.13 billion in 10 months, 10M’22, to October, from $80.75 billion in the corresponding period of 2021, representing 27 per cent, YoY decline. 

Moreover, forex outflow from the economy rose by 1.4 per cent, YoY  to $34.08 billion in 10M’22 from $33.59 billion in 10M’21.

Consequently net forex inflow into the economy dropped to $25.05 billion in 10M’22 from $47.18 billion in 10M’21, representing a 47 per cent decline. 

Following the same trend, net forex inflow fell month-on-month, MoM  by 6.5 per cent  to $1.87 billion in October  2022 from $2 billion in the preceding month of September 2022. 

Disclosing these figures in its monthly economic report for October released last week, the CBN said: “The economy recorded a lower net foreign exchange inflow, driven majorly, by decreased inflow through the Bank and autonomous sources. 

“Aggregate foreign exchange inflow into the economy declined by 14.5 per cent to US$4.21 billion in October, from US$4.93 billion in September. 

“Similarly, foreign exchange outflow through the economy decreased by 19.9 per cent to US$2.34 billion in October, from US$2.92 billion in the previous month. This resulted in a lower net inflow of US$1.87 billion in October 2022, compared with US$2.00 billion in the preceding month.”