Tinubu Upbeat on Economy as Nigeria Records N6.95tn Trade Surplus in Q2

*Total trade declined 3.76% 

*Exports amounted to N19.42 trillion, imports N12.47 trillion

Deji Elumoye and James Emejo in Abuja

The country’s total external merchandise trade recorded a favourable trade balance of N6.5 trillion in the second quarter of the year (Q2 2024), the National Bureau of Statistics (NBS) said yesterday.

The trade performance promptly drew accolades from President Bola Tinubu, who  attributed the feat to current reforms initiatives by his administration.
The president, in a release issued by his Special Adviser on Information and Strategy, Bayo Onanuga, expressed confidence in the reforms his administration is pursuing and believed they will create a more robust economy that will usher in a new era of prosperity for Nigerians.

The statement pointed out that the economic indicators, which were low when Tinubu assumed office last year, are turning positive.

The government, according to the statement, will continue to consolidate on the gains of the reforms as more fiscal and tax policy reforms already embarked upon by the administration come to fruition.

Tinubu also reaffirmed his determination to confront the inhibitions that have stunted the growth and development necessary to unlock the country’s full potential.

The trade figures came days after the country recorded almost 100 per cent oversubscription of its first $500 million domestic bond and half-year revenue of N9.1 trillion.

The latest trade report underscored the increasing positive shifts in the economy over the last year, the statement added.

According to the Foreign Trade in Goods Statistics -Q2 2024, which was released by the statistical agency, total trade however, declined by 3.76 per cent N31.89 trillion when compared to the preceding quarter, and rose150.39 per cent compared Q2 2023.

Essentially, exports accounted for 60.89 per cent of total trade which amounted to N19.42 trillion, representing a marginal increase of 1.31 per cent compared to N19.17 trillion in Q1 2024, and a 201.76 per cent rise over N6.44 trillion in Q2 2023.

According to the NBS, crude oil dominated exports trade in the   quarter under review, accounting for N14.56 trillion or 74.98 per cent of total exports.
On the other hand, non- crude oil exports stood at N4.86 trillion or 25.02 per cent of total exports, of which non-oil products contributed N1.94 trillion or 10.01 per cent of total exports.

On the other hand, total imports decreased by 10.71 per cent N12.47 trillion in Q2 compared to N13.97 trillion in the preceding quarter, but rose 97.93 per cent compared to N630 trillion in Q2 2023. Total imports accounted for 39.11 per cent of total trade.

Essentially, the balance between exports and imports resulted into the trade surplus
In the quarter under review, Spain emerged as the largest export partner, receiving goods valued at N2.01 trillion or 10.34 per cent of Nigeria’s total exports.

The United States followed closely with N1.86 trillion (9.56 per cent), France N1.82 trillion (9.37 per cent), India (N1.65 trillion (8.50 per cent) and The Netherlands N1.38 trillion.

European and American countries dominated Nigeria’s top export destinations in the review period.
Conversely, China remained the country’s highest trading partner on the import side, followed by Belgium, India, United States of America, and The Netherlands.