Nigeria’s Economy Surges: $4.6bn Surplus and Record Growth-CBN
By Patience Ikpeme
Nigeria’s external financial standing has seen a major turnaround, with the country posting an overall Balance of Payments (BOP) surplus of $4.60 billion in the third quarter of 2025.
This transition from a previous deficit arrives as separate data shows domestic business activity climbing to its strongest level in five years.
Hakama Sidi Ali, the Acting Director of Corporate Communications at the Central Bank of Nigeria (CBN), made these disclosures in a comprehensive update on the nation’s economic performance.
The reports indicate that the positive BOP outcome was largely driven by a sustained current account surplus of $3.42 billion.
“The improvement was supported by a sustained current account surplus, stronger trade performance, resilient remittance inflows, increased financial flows, and continued accretion to external reserves,” the apex bank stated on Tuesday night.
A significant factor in the external sector’s recovery was the performance of the goods account, which remained in surplus at $4.94 billion. This was propelled by crude oil exports reaching $8.45 billion. Notably, the report pointed to a 44 percent surge in the export of refined petroleum products, which hit $2.29 billion.
The bank noted that these figures indicate “further progress in domestic refining capacity and Nigeria’s gradual transition from a net importer to a net exporter of refined petroleum products.” While total goods exports reached $15.24 billion, the cost of importing refined petroleum fell by 12.7 percent, creating a more favorable trade balance.
Furthermore, the secondary income account recorded a surplus of $5.50 billion, bolstered by $5.24 billion in remittance inflows from Nigerians in the diaspora.
Investor Confidence and Reserves.
The financial account also showed a positive shift, with Nigeria moving to a net lending position of $0.32 billion. Foreign direct investment rose to $0.72 billion, and portfolio investment inflows reached $2.51 billion. According to the CBN, these figures reflect “improved investor sentiment and continued non-resident participation in domestic financial instruments.”
This influx of capital helped push the country’s external reserves to $42.77 billion at the end of September 2025, a significant rise from the $37.81 billion recorded in June. The CBN indicated that this outcome “underscores strengthening external sector fundamentals, firmer investor confidence, and the continued impact of reforms in the foreign exchange market, monetary policy implementation, and the domestic energy sector.”
The momentum of the third quarter appears to have carried into the end of the year. The CBN’s Composite Purchasing Managers’ Index (PMI) for December 2025 reached 57.6 points, staying well above the 50-point mark that separates expansion from contraction. This represents the most vigorous activity momentum the country has seen in approximately five years.
The survey showed that the growth is widespread, with 32 out of 36 monitored subsectors reporting expansion. Agriculture led the way at 58.5 points, followed by industry at 57.0 points and the services sector at 51.9 points.
The Bank linked the improved PMI results to “the positive effects of ongoing macroeconomic stabilisation measures, including efforts to enhance the operating environment and support business confidence.”
These initiatives have helped boost production efficiency and job creation, providing a stable outlook for the Nigerian economy as it enters the new year.
