Nigeria’s total foreign trade (value of exports and imports) hit N8.60 trillion in the second quarter (Q2) of 2019, up from N8.24 trillion recorded in the previous quarter (Q1). According to the latest foreign trade report released by the National Bureau of Statistics (NBS), this means Nigeria’s total trade rose by 4.4% within the quarter.
According to the NBS report, in Q2, 2019, the value of Nigeria’s total foreign trade stood at N8.60 trillion comprising 46.6% imports (N4 trillion) and 53.4% exports (N4.59 trillion).
Number Breakdown: The report further shows that the value of Nigeria’s total trade in Q2 2019 was higher by 4.4% when compared to Q1 2019, but 24.2% higher when compared with Q2, 2018.
- The trade balance remained favourable, valued at N588.8 billion.
- Total crude oil export was estimated at N2.65 trillion, while non-crude oil export was N661 billion and non-oils exports were put at N227.6 billion.
- Combined with the Q1 2019 performance, Nigeria’s trade balance declined by 63.14% relative to the same period in 2018.
- The value of total trade at half-year 2019 was 15.43% higher than for the same period in 2018.
Exports’ Performance: The value of total exports in Q2 2019 increased by 1.34% against the level recorded in Q1, 2019 and 2.06% when compared with its value in Q2, 2018.
- Exports by sectors show that crude oil export accounted for almost 90% of Nigeria’s total export in Q2 2019. Crude oil export in Q2 was estimated at N3.9 trillion, from N3.3 trillion recorded in Q1 2019.
- The value of Agricultural exports in Q2 was 14.66% lower than in Q1 2019. In Q1 2019, Agricultural goods exports were estimated at N73 billion, as against N86 billion in Q2.
- The value of Raw material exports was 14.52% lower than the value in Q1 2019 and 1.71% lower than in Q2 2018.
- The value of Solid mineral exports declined by 15.53% compared to Q1 2019 and 62.27% against the corresponding quarter in 2018.
- Also, the exports of Energy goods dropped by 12.31% in value compared to Q1 2019 and 15.15% when compared with Q2 2018.
- Lastly, the value of manufactured exports decreased by 77.05% when compared with the value recorded in Q1 2019. In Q1 2019, Nigeria exported N462 billion worth of goods, while the value dropped significantly to N462.2 billion in Q2.
Imports surged: The NBS noted that the performance of Nigeria’s trade for Q2 was largely as a result of stronger growth in the value of imports far outpacing growth in the value of exports which rose only marginally.
- In Q2 2019, Nigeria’s imports constituted 74.52% of manufactured goods. A total of N2.47 manufactured goods was imported into the country. Specifically, the value of imported manufactured goods decreased by 10.86% in Q2 2019 against the value recorded in Q1 2019.
- The value of imported Agricultural products was 5.79% higher in Q2 2019. Basically, the country imported N249.9 billion worth of agricultural goods.
- Also, the raw material was one of the major goods imported into the country in Q2 estimated N346.4 billion. In total, Nigeria’s raw material imports grew 4.97% over the value recorded in Q1 2019.
- Similarly, the value of Solid minerals imports was 63.46% higher than in Q1, 2019 and 68.34% higher than the value recorded in Q2 2018.
- Lastly, the value of energy goods imports was 74.65% lower than in Q1, 2019.
Key Takeaways: From the report, though Nigeria’s trade balance (export-import) is still positive, it dropped significantly by N242.8 billion. This was largely triggered by rise in imports.
- According to NBS, the value of total exports has remained relatively stable since 2018, but the value of imports has maintained its steady rise, hence the decline in trade balance since mid-2018.
- This means import has grown faster than export, and this is not good for the economy as trade deficit may be in sight.
- Also, agricultural commodities export declined, while manufactured goods imported into the country dropped.
- The Bureau noted that the slower growth in exports could be attributed to a combination of slower growth in the value of crude oil exports occurring at the same time as a decline in the value of non-crude oil exports.
- While total trade has hit a new height, Nigeria’s export revenue still significantly depends on crude oil, whose price is subject to fundamentals in the international market.
House of Reps to make Youths globally competitive
House of Representatives is determined to make the Youths globally competitive.
“Facts don’t lie, a government that has devoted N500bn to youth empowerment every year. There’s Trader Moni, N-Power, and several others, they are all there,” he added.
Gbajabiamila added that the President Muhammadu Buhari’s administration has done a lot about youth empowerment and is ready to do more.
COVID-19: Ogun orders full reopening of churches, mosques, hotels
Religious centres and other public places have been reopened following the success recorded in flattening the curve of COVID-19.
The Ogun State Government has ordered the full reopening of churches, mosques, businesses, hotels, and entertainment centres across the state.
This was disclosed by the State Governor, Dapo Abiodun, in a statement signed by his Chief Press Secretary, Kunle Somorin, via the state’s Twitter handle on Wednesday.
Abiodun stated that the religious centres and other public places had been reopened, following the success recorded in flattening the curve of COVID-19.
According to him, the government is aware that many people are just recovering from the economic hardship imposed by COVID-19, as their activities had been affected by the lockdown, while necessary measures had been put in place to combat the pandemic.
He stated, “In the process of rebuilding the economy, the State Government was irrevocably committed to the successful implementation of the “Building our Future Together” agenda, and would ensure everything possible for people to have increased prosperity that would place the State on a sound footing towards continued development.
“Government would improve on testing, just as it continues to monitor the development and not hesitate to do selective lockdown should there be any flagrant disobedience to the set COVID-19 protocols.”
COVID-19: Ogun orders full reopening of churches, mosque, hotels
Pleased with the drop of COVID-19 infections in Ogun State, @dabiodunMFR, has announced that all hotels, viewing centres, marquees, event centres, suites, guest houses, motels, and establishments providing…. pic.twitter.com/sMiUe3DUt5
— Ogun State Government – OGSG (@OGSG_Official) October 28, 2020
What you should know
Governor Abiodun had closed religious centres, businesses and schools in March, as part of moves to flatten the curve of the coronavirus.
He later announced the reopening of only worship centres and schools in August.
Abiodun pegged the number of worshippers for each service at 200, and insisted that services must not exceed one and a half hours.
CBN reveals framework for the N75 billion Youth Investment Fund
The Nigerian Youth Investment Fund will be funded through the NIRSAL MFB window of the CBN.
The Central Bank of Nigeria (CBN) has revealed the implementation framework for the Nigerian Youth Investment Fund.
This was disclosed in a publication by the Development Finance Department under the auspices of the Central Bank of Nigeria.
The CBN stated that the Nigerian Youth Investment Fund (N-YIF) would be funded through NIRSAL MFB window, with an initial take-off seed capital of N12.5 billion.
The N-YIF aims to financially empower Nigerian youths to generate at least 500,000 jobs between 2020 and 2023.
Objectives of the scheme:
Improve access to finance for youths and youth-owned enterprises for national development.
Generate much-needed employment opportunities to curb youth restiveness.
Boost the managerial capacity of the youths, and develop their potentials to become the future large corporate organizations.
Explore Data on the Nairametrics Research Website
The fund targets young people between the ages of 18 and 35 years.
Beneficiaries of NMFB, TCF and AgSMEIS loans, and other government loan schemes that remain unpaid are also not eligible to participate.
Individuals (unregistered businesses) shall be determined based on activity/nature of projects subject to the maximum of N250,000.
Registered businesses (Business name, Limited Liability, Cooperative, Commodity Association) shall be determined by activity/nature of projects subject to the maximum of N3.0 million (including working capital).
The tenor of the intervention is for a Maximum of 5 years, depending on the nature of the business and the assets acquired, of which interest rate of not more than 5% under the intervention shall be charged annually.
The Federal Ministry of Youth and Sports Development (FMYSD) will collaborate with relevant stakeholders to identify potential training for training/mentoring.
The youths that are duly screened (and undergo the mandatory training where applicable) shall be advised to login to the portal provided by the NMFB to apply for the facility.