Foreign trade figures of Nigeria

Foreign Trade in Figures

Nigeria is relatively open to trade, which accounts for 23% of its GDP (World Bank, latest data available). The objective of Nigeria's trade policy is to promote and diversify its exports by reinforcing national competitiveness and encouraging liberalization through the reduction of subsidies. The country mainly exports petroleum oils and petroleum gas (mineral products account for 90% of total exports), and boats (3.4%); while imports are lead by mineral products (40%), machinery (16.9%), chemical products (8.6%), and vehicles (6.5% - data National Bureau of Statistics 2022).

Nigeria's main export partners are India (12.6% of total exports), Spain (12%), the Netherlands (9.6%), the U.S. (6.8%), and France (5.8%). Its main suppliers are China (22.7% of total imports), the Netherlands (10.4%), India (7.9%), the United States (5.6%), and France (2.6% - data NBS 2022). Nigeria is a member of the World Trade Organization (WTO) and has signed several regional and bilateral trade agreements. The country is a member of the Economic Community of West African States (ECOWAS) and has signed the African Continental Free Trade Area (AfCFTA) agreement, which aims to create a single market for goods and services among African countries. The Nigerian government has implemented various measures to promote exports, such as the Export Expansion Grant (EEG) and the Nigerian Export Supervision Scheme (NESS). These measures aim to encourage non-oil exports, promote value addition, and increase competitiveness. Lingering barriers to trade and investment persist in the country, mainly due to long bureaucratic delays.

Nigeria’s trade balance is structurally positive, but it occasionally turns negative when oil prices and production drop. According to World Bank data, in 2021 the trade balance was negative by 1.1% of GDP. In the same year, exports of goods amounted to USD 46.9 billion, whereas imports reached USD 51.9 billion (+32.7% and -6.7% y-o-y, respectively - WTO). Exports of services stood at USD 4 billion, while imports totalled USD 15.1 billion (WTO).
Economic recovery and higher oil revenues resulted in a trade surplus in 2022: according to figures from CBS, exports increased by 41.7% vis-à-vis 2021 to NGN 26.8 trillion while imports reached NGN 25.6 trillion (+22.8%).