Nigeria’s Trade Balance Improves as Imports Drop in Q1 2026
By Patience Ikpeme
Nigeria recorded an improved trade balance in the first quarter of 2026, supported by higher export earnings and a significant decline in imports across several key sectors of the economy.
Data released on Monday by the National Bureau of Statistics (NBS) showed that total imports dropped to ₦13.62 trillion in the period under review. This represents an 18.2 per cent decrease compared to ₦16.64 trillion recorded in the same quarter of 2025, and a 21.1 per cent fall from ₦17.25 trillion recorded in the fourth quarter of 2025.
The report indicates that the reduction in imports played a major role in strengthening Nigeria’s overall trade position during the quarter, particularly as demand for foreign goods slowed in critical sectors, including energy-related products.
China remained Nigeria’s leading source of imports during the period, followed by the United States, India, Germany and the United Arab Emirates. Key imported items included crude petroleum oils, gas oil, durum wheat, telecommunications equipment, and used diesel-powered vehicles.
The agricultural sector recorded a decline in import value, falling by 20.1 per cent year-on-year to ₦827.72 billion. Similarly, raw material imports dropped by 12.6 per cent to ₦1.58 trillion, reflecting reduced demand for foreign inputs in some production activities.
Imports of solid minerals also fell sharply by 24 per cent to ₦69.75 billion, indicating a slowdown in the sector’s reliance on imported mineral-related inputs.
However, imported manufactured goods rose to ₦8.48 trillion, representing a 12.9 per cent increase compared to the same period in 2025, although the figure was slightly lower than the previous quarter. This shows continued reliance on finished industrial products despite overall import contraction.
A notable development was the steep decline in imports of other oil products, which dropped to ₦748.10 billion. This represents an 85.1 per cent fall compared to the first quarter of 2025 and an 81.4 per cent decline from the previous quarter, making it one of the strongest contributors to the overall reduction in import levels.
The NBS noted that the broad-based decline in imports, especially petroleum-related products, significantly influenced Nigeria’s stronger trade performance in the first quarter of 2026.
Overall, the data suggests a shift in Nigeria’s external trade structure, with reduced import dependence helping to improve the country’s trade balance during the period under review.
