FX Market Inflows Drop by 5.6% in April

The Monetary Market Sellers Citation (FMDQ) in its anal­ysis of the Nigerian economic system for April 2025, has mentioned that the whole inflows into the nation’s change market dropped by 5.7 % to $6.67 billion when in comparison with March with $3.90 billion.

The physique in its statistics of the USA, additionally mentioned that its economic system contracted by 0.3 % in Q1 2025, marking the primary quarterly decline since Q1- 2022 (-1.0% q/q).

FMDQ in its report had at­tributed the decline within the in­flows into the Nigerian Overseas Alternate Market (NFEM) to drop from international sources, which stood at 17.9 % of whole inflows and fell by 16.5 % to $657.40 million, whereas March stood at $787.20 million.

This marked the bottom stage of inflows in seven months for the nation, the statistics mentioned.

It added that inflows from the opposite corporates (-40.5%) and FPI (-15.7% m/m) segments recorded decrease accretion, whereas inflows from the Overseas Direct Funding (FDI) (+112.7% m/m) phase elevated.

It identified that inflows from native sources (82.1% of whole inflows) declined margin­ally by 2.9% m/m to $3.02 billion, whereas March was $3.11 billion pushed by declines in inflows from the exporters/importers (-23.9% m/m) and non-bank cor­porates (-23.3% m/m) segments, amid a surge within the inflows from the people (+125.4% m/m) and the Central Financial institution of Nigeria (CBN) with progress of 43.8 per­cent segments.

The statistics added: “Within the quick time period, we count on international change inflows to stay rel­atively robust in comparison with final 12 months (2024 month-to-month common: $2.54 billion), resulting from improved market construction and elevated inflows from the CBN.

“Nevertheless, the present ex­ternal pressures, together with the worldwide commerce tensions and in­creased world uncertainties, are prone to constrain inflows from the international phase, finally affecting total FX liquidity.”

The information added that based mostly on information from the home and international portfolio report of the Nigerian Alternate whole trans­actions within the Nigerian equities market surged to an all-time excessive, rising by 119.0 % to N1.12 trillion in March, whereas February was N509.47 billion.