Capital inflows into Nigeria worth $37.6 billion (N5.9 trillion) between January 2013 and Q3 2014 have moved the country a step closer to becoming Africa’s number one financial centre, according to BusinessDay Research and Intelligence Unit’s (BRIU) findings.

This value represents the amount of capital importation into the country in fiscal year 2013 ($21.3billion) and from January to September 2014 ($16.3billion).

An International Financial Centre (IFC) is a place where global financial business can be done profitably, easily and efficiently. It has a pool of highly skilled management and talents covering business, finance, legal, accounting and other interdependent services that can facilitate large scale cross-border transactions within the shortest possible time.

According to the recent ranking, the top ten IFCs are New York, London, Hong Kong, Singapore and Zurich. Others are Tokyo, Seoul, Boston, Geneva and San Francisco.

BRIU analysed the data on capital importation made available by the National Bureau of Statistics (NBS) and found that these investments came from 69 countries during the period under review.

Lagos State, Nigeria’s commercial centre got 99 percent and 98 percent of the 2013 and 2014 capital inflows respectively.

In addition, the majority of the capital inflows went into equity investment. Seventy-one percent or $15.1 billion in 2013 went to equities, while $9.9 billion, or 61 percent of the amount brought in as at Q3 2014 also went to the same investment.
The implication of the strategic positioning of foreign investors is that the current capital market state is temporary.

“We believe a few of the factors accounting for the continued attraction of the Nigerian market to foreign portfolio investors despite the headwinds include the relative pricing of the market compared to peers (11.04x vs 15.03x peer average), sound fundamentals of the economy, CBN’s resolve to defend the naira has minimised FX volatility until recently.

“They also include the stability and transparency in the management of the Nigerian Stock Exchange (NSE) as well as a number of reforms taking place. This has also led to the recent admission of the NSE into the World Federation of Exchanges(WFE), which is another image booster for transparency, sound regulations, to mention a few”, according to Olawale Olusi, a research analyst with Meristem Research.

The plan to make Nigeria Africa’s financial centre is fully encapsulated in the Central Bank of Nigeria’s (CBN) report on Financial System Strategy (FSS) 2020 through which it aims to make the nation “the safest and fastest growing financial system among emerging markets which will have the capacity to drive rapid and sustainable economic growth primarily in Nigeria and Africa.”

Our analysis shows that 15 African countries invested in Nigeria during this period; ten from Asia; 24 from Europe and eight from the Middle East. There are seven countries from North America; three from the Oceania and two from South America.

The highest capital inflows into Nigeria from African countries came from Mauritius whose investors injected $673.7 million in fiscal year 2013 as well as $392.9million between January and September 2014. From Asia, Singapore was the highest source of capital inflows in 2013 with $158.8million to its credit but has since been dethroned by China whose investors have so far injected $115.1 million into the Nigerian economy in 2014 while the Singaporean investors can only boast of $74 million capital injection year-to-date.

The United Kingdom (UK) remains the highest source of capital inflows into Nigeria from Europe and among all the 69 countries put together. A total of $10.6 billion or 50 percent of the entire capital importation in 2013 came in through the UK investors, while $8.99billion or 55 percent has also come into the country through the same source in 2014.

Investments from Lebanon, worth $47.3 million, topped the list of the capital inflows from the Middle East in 2013, but that position has been taken over by Saudi Arabia which has so far invested $376.3 million into the Nigerian economy in 2014.

The United States of America (USA) has the second highest capital inflows into Nigeria overall and first among the countries from the North America. A total of $4.14 billion or 19 percent of the entire capital importation in 2013 and $2.66 billion or 16 percent of the 2014 capital importation into the Nigerian economy came from the US.

Furthermore, the $70 million and $200 million investments from Pitcairn put the small island as the highest source of capital importation from the Oceania in 2013 and 2014 respectively. The highest inflows from South America came from Brazil.

Interestingly, ten new countries in 2014 joined the list of nations investing in the country, a move which suggests that the global confidence in the Nigerian economy is very high, our short term problems regardless. These countries are Armenia, Greece, Hungary, Malaysia, Malta, Qatar, and Seychelles. Others are Thailand, Uganda and Vietnam. Total capital inflows from these countries added up to $613.43 million in 2014.
http://businessdayonline.com/2014/11/69-countries-propel-nigeria-to-africas-financial-centre/#.VHLvojTF8wJ

MikeCZAR:
No. You mister.

confused dude.

agaugust:


With HIV infection?

Yes..

H umiliating
I mmediate
V ictory

@henry,nigeria is becoming africa's financial capital and we arent even close to year 2020 yet.

agaugust:


SAAF almost grounded all Hawk jets after a training accident some months ago.
South Africa has less air crashes because their jets hardly ever fly except for ceremonies like Mandela funeral.
USAF flies a lot and crashes more than Nigeria.

that exactly what i told andrewza and his cohorts,any country that constantly undergo aerial training exercises will always have crashes.thats why even the best airforces have high aircraft crash rate during training.the SAAF rarely train{for reasons we all know},thats why the SAAF's only job during wartime is to transport food and fish to the battlefield

JOHANNESBURG – In an announcement that’s
raised eyebrows for some, South Africa has
been ranked the 13th most attractive
destination in the world among foreign
investors.
Global management consulting firm AT Kearney
on Tuesday released its 2014 Foreign Direct
Investment Confidence Index,showing South
Africa had climbed two spots.
This is despite the manufacturing sector
coming under pressure, the World Economic
Forum placing South Africa last out of 148
countries in terms of maths and science
education, and the continued damage of strikes
to the economy – with the longest and costliest
ever mining strike still underway on the
platinum belt.
The index is based on the result of a survey
sent out to senior executives from around 300
of the world’s leading corporations.
The US retained its first place position from last
year followed by China and then Canada.
The study also showed that 36 percent of
respondents hold a more positive view of South
Africa than they did in 2012, while only 10
percent hold more negative views.
Principal at AT Kearney Cecily Carmona says
South Africans shouldn’t be too surprised about
the positive attention
“We were quite surprised ourselves to see
South Africa in the ranking that it came out at,”
she admits, “but I think it shows that
sometimes, internally, we are very absorbed
with the negative stories.

EVarn:
@henry,nigeria is becoming africa's financial capital and we arent even close to year 2020 yet.

Becoming is a possibility,

South Africa is the financial hub of Africa

Boko-Haram kills 48 more people in less than 3 days! what exactly are you people doing with your satellites and surveillance assets!?

ActivateKruger:

Becoming is a possibility,
South Africa is the financial hub of Africa

i say to you: "south africa,go and die",LOL,a financial hub that has a stagnant economy,how....tasty?

EVarn:
that exactly what i told andrewza and his cohorts,any country that constantly undergo aerial training exercises will always have crashes.thats why even the best airforces have high aircraft crash rate during training.the SAAF rarely train{for reasons we all know},thats why the SAAF's only job during wartime is to transport food and fish to the battlefield

Nah, that's a lie. SA buy quality other than quantity that Nigeria is after. When we want fighters we don't go to China. The F7s trainers never crashed because they were kept flying very often, it is because they had mechanical failures all the while since they were brought from China. Most probably, they are currently inoperable given the fact that many of them were grounded following the crash of one fighter to another.

Centrifude:
Boko-Haram kills 48 more people in less than 3 days! what exactly are you people doing with your satellites and surveillance assets!?

mumu,when the world trade centre was bombed to the ground,what was the US doing with its satellites and surveillance assets?

EVarn:
i say to you: "south africa,go and die",LOL,a financial hub that has a stagnant economy,how....tasty?

SA economy is bigger for its population while Nigeria's is very small for its population. That's a huge difference.

EVarn:
mumu,when the world trade centre was bombed to the ground,what was the US doing with its satellites and surveillance assets?

So, can you see that your fellow dull head country man @agaugust is just myopic for putting all his hopes on his demi god in the name of satellite?

Boko haram killed over 100 since your hunters, CJTF and your coward soldiers chased it around.

Centrifude:
Boko-Haram kills 48 more people in less than 3 days! what exactly are you people doing with your satellites and surveillance assets!?

Nigeria' satellite is a gimmick.

EVarn:
i say to you: "south africa,go and die",LOL,a financial hub that has a stagnant economy,how....tasty?

The US economy is in recession, does that change the fact that it's the world economic hub?

South Africa is the financial hub of Africa, deal with it

EVarn:
mumu,when the world trade centre was bombed to the ground,what was the US doing with its satellites and surveillance assets?

US has killed about 4000 people with drone strikes since 9/11

mzilakazi:


Nah, that's a lie. SA buy quality other than quantity that Nigeria is after. When we want fighters we don't go to China. The F7s trainers never crashed because they were kept flying very often, it is because they had mechanical failures all the while since they were brought from China. Most probably, they are currently inoperable given the fact that many of them were grounded following the crash of one fighter to another.

hogwash.your pityful airforce only flies on paper.if your airforce truly fly often,accidents would be unavoidable.what has buying jets from china gotta do with anything?,whats the difference between american and chinese jets?.clown.

EVarn:
hogwash.your pityful airforce only flies on paper.if your airforce truly fly often,accidents would be unavoidable.what has buying jets from china gotta do with anything?,whats the difference between american and chinese jets?.clown.

Airforce flew 18000 hours last year, 22 000 allocated "on paper"

How many hours did yours fly?

mzilakazi:

SA economy is bigger for its population while Nigeria's is very small for its population. That's a huge difference.

hahahaha....i can see that you just got dragged out of the khalahari,how is the nigerian economy small compared to its population?,moreover,nigeria has a GROWING economy.

patches689:


Airforce flew 18000 hours last year, 22 000 allocated "on paper"

How many hours did yours fly?

like i said,its all on paper.show us real evidence,not some namby-pamby figures that was cooked up in a mathematicians toilet.

patches689:

US has killed about 4000 people with drone strikes since 9/11

and it has been how many years since 9/11?.cloned clown.

EVarn:
hahahaha....i can see that you just got dragged out of the khalahari,how is the nigerian economy small compared to its population?,moreover,nigeria has a GROWING economy.

You don't use your head, do you?

If Nigeria has to have a an equal economy with SA you have to have a GDP that is at least 3 times of SA GDP.... it has to be at least a trillion dollar.....

In real terms Nigeria has half of South Africa's economy

EVarn:
like i said,its all on paper.show us real evidence,not some namby-pamby figures that was cooked up in a mathematicians toilet.

Come at Waterkloof and other military airports to see aircrafts lifting off and landing everyday.

You're a f00l to argue against statistics you can't prove otherwise

ActivateKruger:

The US economy is in recession, does that change the fact that it's the world economic hub?
South Africa is the financial hub of Africa, deal with it

only God knows who introduced you to the internet.the US economy has since picked up tempo as they are now big producers of shale oil,you cant begin comparing the US's economy with your ANC-ridden economy.your economy would soon be on the decline.

ActivateKruger:


You don't use your head, do you?

If Nigeria has to have a an equal economy with SA you have to have a GDP that is at least 3 times of SA GDP.... it has to be at least a trillion dollar.....

In real terms Nigeria has half of South Africa's economy

you're choking me with your ignorance.

EVarn:
hahahaha....i can see that you just got dragged out of the khalahari,how is the nigerian economy small compared to its population?,moreover,nigeria has a GROWING economy.

Something called GDP per capita.

EVarn:
only God knows who introduced you to the internet.the US economy has since picked up tempo as they are now big producers of shale oil,you cant begin comparing the US's economy with your ANC-ridden economy.your economy would soon be on the decline.

The US economy is struggling big time or don't you know that because you are forever backward with international news.

EVarn:
like i said,its all on paper.show us real evidence,not some namby-pamby figures that was cooked up in a mathematicians toilet.

Those figures come from the airforce and are presented as fact to parliament. If they were false that would amount to fraud.

What better source do you want?

Now show us NAF flight hours.

ActivateKruger:


Come at Waterkloof and other military airports to see aircrafts lifting off and landing everyday.

You're a f00l to argue against statistics you can't prove otherwise

you can keep screaming with spittle flying out of your enraged mouth,if you have no concrete proof to your ridiculous claims,then you're wasting both our time.

EVarn:
hogwash.your pityful airforce only flies on paper.if your airforce truly fly often,accidents would be unavoidable.what has buying jets from china gotta do with anything?,whats the difference between american and chinese jets?.clown.

That's a lie. The reason is because you are buying low cost machines which does not fall under any category.

EVarn:
only God knows who introduced you to the internet.the US economy has since picked up tempo as they are now big producers of shale oil,you cant begin comparing the US's economy with your ANC-ridden economy.your economy would soon be on the decline.

Our economy will soon be in decline?

Complete opposite, we went from contraction to 1.9% growth in a few months

EVarn:
only God knows who introduced you to the internet.the US economy has since picked up tempo as they are now big producers of shale oil,you cant begin comparing the US's economy with your ANC-ridden economy.your economy would soon be on the decline.

America is in recession... South Africa is in recession with the rest of the Western world. Nevertheless.....

South Africa is the financial hub of Africa