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Nigeria suffers nearly N1tn export loss after Trump tariff

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Nigeria’s exports to the United States fell by N940.98bn in the first nine months of 2025, even as imports from America more than doubled, reversing the trade balance that favoured Nigeria a year earlier, findings from the National Bureau of Statistics’ foreign trade data have shown.

An analysis of the NBS figures for Q1–Q3 2024 and Q1–Q3 2025 showed that Nigeria exported goods worth N3.65tn to the US in the first nine months of 2025, down from N4.59tn recorded in the corresponding period of 2024, representing a decline of 20.5 per cent or N940.98bn.

Over the same nine-month period, Nigeria’s imports from the US rose sharply to N6.80tn from N3.01tn, an increase of 125.5 per cent or N3.78tn, indicating that Nigeria bought far more from the US than it sold to the market in 2025.

This left Nigeria with a trade deficit of about N3.15tn with the United States in the first nine months of 2025, compared with a trade surplus of N1.57tn in the corresponding period of 2024.

The deterioration coincided with Washington’s implementation of its “reciprocal” tariff regime, under which Donald Trump signed an executive order raising Nigeria’s tariff rate from 14 per cent to 15 per cent.

The order, issued late July, took effect on August 7, 2025. Although crude oil has been exempted in several cases, the higher duty applies directly to a wide range of non-oil Nigerian exports, creating uncertainty for American importers and dampening demand ahead of and after the effective date.

With crude oil exports largely exempted from the new tariff regime, non-oil exports appear to have borne the brunt of the disruption. In the first nine months of 2024, Nigeria’s exports to the US rose steadily quarter-on-quarter, from N1.31tn in Q1 to N1.59tn in Q2 and N1.69tn in Q3.

Imports, by contrast, remained relatively moderate at N1.01tn, N965.50bn, and N1.04tn respectively. This resulted in trade surpluses of N301.94bn in Q1, N620.99bn in Q2, and N649.71bn in Q3, culminating in a cumulative surplus of N1.57tn for the nine-month period.

That trend reversed sharply in 2025. Although exports opened the year at N1.54tn in Q1, they fell to N1.36tn in Q2 and then plunged to N743.63bn in Q3. Imports followed the opposite trajectory, rising from N1.42tn in Q1 to N2.16tn in Q2 and surging further to N3.22tn in Q3.

Quarter-on-quarter analysis showed that exports declined by 11.9 per cent between Q1 and Q2 2025, before collapsing by 45.3 per cent between Q2 and Q3. Imports, meanwhile, jumped by 51.8 per cent between Q1 and Q2 and rose by another 49.1 per cent between Q2 and Q3, rapidly widening Nigeria’s trade deficit with the US.

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On a year-on-year basis, exports to the US grew by 17.7 per cent in Q1 2025 compared with Q1 2024, but the trend reversed thereafter. Exports fell by 14.3 per cent in Q2 2025 compared with Q2 2024 and plunged by 56.0 per cent in Q3 2025 relative to Q3 2024.

Imports increased sharply across all quarters, rising by 40.9 per cent in Q1, 123.5 per cent in Q2, and 209.4 per cent in Q3. The sharp contraction in export earnings explains why the United States dropped out of Nigeria’s top five export destinations by Q2 and Q3 of 2025, despite remaining one of Nigeria’s largest sources of imports.

Product-level data from the NBS further shows the imbalance. In Q1 2025, Nigeria’s exports to the US were dominated by crude petroleum oils valued at N779.38bn, followed by urea at N240.17bn and kerosene-type jet fuel at N214.30bn. Other export items included petroleum gases in gaseous state valued at N95.97bn and standard quality cocoa beans at N58.84bn.

Imports from the US in Q1 2025 were led by crude petroleum oils worth N726.84bn, alongside used diesel vehicles above 2,500cc valued at N93.51bn, lubricating oil additives at N60.12bn, soya beans at N45.04bn, and butanes at N32.85bn.

By Q2 2025, Nigeria’s export basket to the US had narrowed significantly, led by cocoa beans worth N37.39bn and urea valued at N106.44bn, alongside technically specified natural rubber at N10.43bn and leather products valued at N127.22m.

Imports, however, expanded sharply, with crude petroleum oils alone valued at N1.34tn, followed by used vehicles, wheat, motor spirit, and denatured alcohol. In Q3 2025, exports dwindled further to relatively minor items such as soya bean flour valued at N23.60bn, cocoa powder preparations worth N36.83m, and technically specified natural rubber valued at N5.03bn.

Imports from the US continued to surge, with crude petroleum oils rising to N2.31tn, alongside strong inflows of used vehicles, wheat, and industrial plastics. With the US no longer among Nigeria’s top five export destinations by mid-2025 and imports accelerating rapidly, the figures highlight growing structural weaknesses in Nigeria’s trade position and the vulnerability of its export earnings to external policy shifts.

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FG pledges resilience

Earlier in September, President Bola Tinubu said his administration will remain resilient and has no fear of the trade policy direction of US President Donald Trump, particularly tariffs targeting Nigerian exports. The President cited Nigeria’s current economic trajectory and growing non-oil revenues as buffers against external shocks. Tinubu said, “If non-oil revenue is growing, then we have no fear of whatever Trump is doing on the other side.”

Also, Nigeria’s Minister of Industry, Trade and Investment, Jumoke Oduwole, said the country would not be stampeded into retaliatory action but would continue on its path of reform and diversification. “Nigeria remains responsive; we’re not reacting. We’re focused on the eight-point agenda of President Bola Tinubu. We will continue to support domestic investors and expand market access for Nigerian businesses,” Oduwole said.

She noted that while the United States remains an important trade partner, Nigeria is strengthening its African Continental Free Trade Area strategy and boosting non-oil exports, which grew by 24 per cent year-on-year in the first quarter of 2025.

“It’s mostly an energy trading relationship, but we are waiting to see what happens with AGOA (African Growth and Opportunity Act) in September. We are also growing exports to other African countries and expanding partnerships with Brazil, China, Japan, and the UAE,” she added.

The minister stressed that Nigeria would seize opportunities for South–South cooperation, pursue export diversification, and reduce dependence on the American market.

Stakeholders in Nigeria’s export sector earlier called on the United States of America to review the tariffs on Nigerian products, while describing the tariff as an opportunity for the country to expand its non-oil exports.

Experts speak

Stakeholders led by the Nigerian-American Chamber of Commerce and the Nigerian Export Promotion Council noted that the US tariffs should not be seen only as a challenge but also as a window for growth.

Also, a development economist and Chief Executive Officer of CSA Advisory, Dr Aliyu Ilias, said Nigeria should view the current trade situation as an opportunity to adapt. “I think it’s a good time that this is happening to Nigeria. Trump’s tariff is not only for Nigeria. The advantage is that we are now exporting more overall, which is positive for us,” he said.

Ilias argued that Nigeria could use its position within BRICS and other international alliances to reduce vulnerability and build resilience. He added that with other countries such as India and China also facing US tariffs, Nigeria had an opening to forge new partnerships.

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“We also have to start being on our own. We can trade with other partners and see, because other partners are also looking for partners. The tariff that is affecting us is also affecting others, so it may be a good opportunity,” he added.

Similarly, renowned economist and Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, downplayed the impact of the US tariffs on Nigeria. “Our trade with the US is not that strategic. When anything goes wrong, it is not as if it can have any fundamental effect on our economy. Our trade exposure to them is very limited,” Yusuf explained.

He noted that Nigerian exports to the US are dominated by crude oil and a handful of other commodities such as fertilisers, making the country’s trade profile narrow and underdeveloped in non-oil areas. Yusuf added that Nigeria’s tariff exposure is relatively moderate compared with other countries. However, he identified another challenge beyond tariffs: US visa policy.

“The bigger challenge for Nigeria’s trade relationship with the U.S. is Washington’s visa policy. Barriers to travel limit business interactions and investment inflows. That is more critical than tariffs in the long run,” he said.

Since its inception, the Trump administration has steadily rolled out a series of visa restrictions and travel bans targeting Nigeria and several other countries.

He has cited the need to reform the US immigration system, strengthen border security, and improve the vetting of foreign nationals as justification for the decisions.

These measures, which have generated diplomatic unease and personal distress, reached a new phase with the latest proclamation signed by the US President.

The proclamation imposed travel restrictions on Nigerians and citizens of 16 other African countries. According to the White House, holders of the B-1, B-2, B-1/B-2, F, M, and J visas are barred from entering the United States from January 1, 2026.

The visa categories cover business and tourist travel, as well as students and exchange visitors, effectively affecting a broad spectrum of Nigerians.

Beyond security concerns, the US government also cited what it described as a high rate of visa overstays by Nigerian nationals as part of the justification for the restrictions.

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Bank recapitalisation: Local investors provide 72% of N4.6tn

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The Central Bank of Nigeria (CBN) on Wednesday said domestic investors accounted for the bulk of funds raised under its banking sector recapitalisation programme, contributing 72.55 per cent of the N4.65tn total capital secured by lenders.

The apex bank disclosed this in a statement marking the conclusion of the exercise, which began in March 2024 and saw 33 banks meet the new minimum capital requirements.

The statement was jointly signed by the Director of Banking Supervision, Olubukola Akinwunmi, and the Acting Director of Corporate Communications, Hakama Sidi-Ali.

According to the CBN, Nigerian investors provided about N3.37tn of the total capital raised, underscoring strong domestic confidence in the banking sector, while foreign investors accounted for the remaining 27.45 per cent.

“Over the 24-month period, Nigerian banks raised a total of N4.65tn in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy,” the statement said.

Commenting on the outcome, the CBN Governor, Olayemi Cardoso, said, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well-positioned to support economic growth and withstand domestic and external shocks.”

The bank confirmed that 33 lenders had met the revised capital thresholds, while a few others were still undergoing regulatory and judicial processes.

“The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme,” it stated.

“A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.

“All banks remain fully operational, ensuring continued access to banking services for customers.”

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The regulator stressed that the recapitalisation exercise was completed without disrupting banking operations nationwide, noting that key prudential indicators, particularly capital adequacy ratios, had improved and remained above global Basel benchmarks.

Minimum capital adequacy ratios were pegged at 10 per cent for regional and national banks and 15 per cent for banks with international licences.

The CBN added that the exercise coincided with a gradual exit from regulatory forbearance, a move it said improved asset quality, strengthened balance sheet transparency, and enhanced overall system stability.

To sustain the gains, the apex bank said it had strengthened its risk-based supervision framework, including periodic stress tests and requirements for adequate capital buffers.

It added that supervisory and prudential guidelines would be reviewed regularly to improve governance, risk management, and resilience across the sector.

“The successful completion of the programme establishes a stronger and more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks,” the statement added.

Meanwhile, data from the National Bureau of Statistics showed that foreign capital inflows into the banking sector rose by 93.25 per cent year-on-year to $13.53bn in 2025 from $7.00bn in 2024, reflecting strong investor interest during the recapitalisation drive.

However, the Centre for the Promotion of Private Enterprise has cautioned that despite the strengthened banking system, credit to small businesses remains weak, warning that the benefits of the reforms are yet to fully impact the real economy.

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Court freezes N448m assets in Keystone Bank debt recovery suit

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The Federal High Court in Lagos has ordered the freezing of funds and assets valued at N448,263,172.41 in a debt recovery suit instituted by Keystone Bank Limited against five defendants.

The order was made on March 26, 2026, by Justice Chukwujekwu Aneke following an ex parte application moved by Keystone Bank’s counsel Mofesomo Tayo-Oyetibo (SAN), against Relic Resources, Olufunmilayo Emmanuella Alabi, Uwadiale Donald Agenmonmen, The Magnificent Multi Services Limited, and Raedial Farms Limited.

In his ruling, Justice Aneke granted a Mareva injunction restraining the defendants, whether by themselves, their agents, privies, or assigns, from withdrawing, transferring, dissipating, or otherwise dealing with funds, shares, dividends, and other financial instruments standing to their credit in any bank or financial institution in Nigeria, up to the sum in dispute.

The court further directed all banks and financial institutions within the jurisdiction to forthwith preserve any funds belonging to the defendants upon being served with the order.

The said institutions were also ordered to depose to affidavits within seven days of service, disclosing the balances in all accounts maintained by the defendants, together with the relevant statements of account.

In addition, the court granted a preservative order restraining the defendants from disposing of, alienating, or otherwise encumbering any movable or immovable property, including any future or contingent interests, up to the value of the alleged indebtedness.

The court also granted leave for substituted service of the originating and other court processes on the second and third defendants by courier delivery to their last known addresses.

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The matter was adjourned to April 9, 2026, for mention.

According to the originating processes before the court, the suit arises from a N500 million overdraft facility granted by the claimant to the first defendant on March 28, 2023, for a tenure of 365 days at an interest rate of 32 per cent per annum.

The claimant averred that the facility, initially secured by a $200,000 cash collateral and subsequently by a mortgaged property located at Itunu City, Epe, Lagos, expired on March 27, 2024, leaving an outstanding indebtedness of N448,263,172.41 as at October 31, 2024.

In the affidavit in support of the application, the claimant alleged that the facility was diverted for personal use by the third defendant and channelled through the fourth and fifth defendant companies.

It further contended that the first defendant is no longer a going concern and has failed, refused, and neglected to liquidate the outstanding indebtedness despite several demands made between May and October 2025.

The claimant also expressed apprehension that the defendants may dissipate or conceal their assets, thereby rendering nugatory any judgment that may be obtained in the suit, and consequently urged the court to grant the reliefs sought in the interest of justice.

After considering the application and submissions of learned silk, Justice Aneke granted all the reliefs sought and adjourned the matter to April 9, 2026, for further proceedings.

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Sanwo-Olu unveils Lagos 2026 economic blueprint, vows inclusive growth

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The Lagos State Governor, Babajide Sanwo-Olu, on Tuesday unveiled the 2026 edition of the Lagos Economic Development Update, reaffirming his administration’s commitment to driving inclusive growth and ensuring that economic progress translates into tangible benefits for all residents of the state.

The unveiling of this year’s outlook, held in Ikeja, provides an in-depth analysis of the state’s economic trajectory, capturing global, national, and local developments shaping Lagos’ growth outlook.

Represented by his deputy, Obafemi Hamzat, the governor described the report as more than a policy document, noting that it serves as a strategic compass for guiding economic direction and strengthening decision-making.

He added that despite global economic headwinds — including post-pandemic recovery challenges, inflationary pressures, and exchange rate fluctuations — the state has remained resilient through deliberate policies, fiscal discipline, and sustained investment in critical infrastructure.

“It is with a deep sense of responsibility and optimism that I join you today to officially launch the third edition of the Lagos Economic Development Update — LEDU 2026.

“This platform has evolved beyond a mere policy document; it has become a compass guiding our economic direction, shaping decisions, and reinforcing our commitment to building a resilient, inclusive, and prosperous Lagos,” he said.

He noted that while the global economic environment has remained unpredictable, Lagos has stayed on course through “clarity, discipline, and foresight,” anchored on the T.H.E.M.E.S+ Agenda.

According to him, the state had strengthened its fiscal framework, improved revenue generation, and invested in infrastructure critical to long-term growth.

Sanwo-Olu further highlighted progress recorded since the inception of LEDU, including the expansion of the state’s economic base driven by innovation, entrepreneurship, and digitalisation; improved efficiency in revenue systems; and sustained infrastructure development spanning roads, ports, energy, and urban planning.

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He added that continued investment in human capital remains central, as “people are the true engine of growth.”

Speaking on the theme of this year’s report, “Consolidating Resilience, Advancing Competitiveness, Delivering Shared Prosperity,” the governor said it reflects Lagos’ current economic priorities.

He explained that consolidating resilience involves strengthening institutions and fiscal discipline, while advancing competitiveness requires boosting productivity, innovation, and investment.

Delivering shared prosperity, he added, means ensuring growth translates into jobs, expanded opportunities, and improved livelihoods for residents.

Looking ahead, he reaffirmed the administration’s commitment to economic diversification, private sector-led growth, data-driven governance, sustainable urban development, and social inclusion.

He also stressed the importance of partnerships with the private sector, development institutions, civil society, and the international community in achieving the state’s development goals.

“As we launch this edition of LEDU, I urge all stakeholders to engage actively, strengthen collaboration, and align with our shared vision.

“We have built resilience; now we must translate it into sustained competitiveness and ensure that growth delivers tangible prosperity for every Lagosian,” he said.

Also speaking, the state Commissioner for Economic Planning and Budget, Ope George, said Lagos has demonstrated remarkable resilience in navigating both global and domestic economic challenges.

“Lagos is not just responding to economic shocks — we are building systems that make us stronger because of them,” he said, noting that deliberate policies, disciplined fiscal management, and strategic investments have reinforced the state’s position as a leading subnational economy in Africa.

He added that the state would continue to prioritise economic diversification, private sector growth, sustainable urban development, and social inclusion, stressing that growth must be measured not only by numbers but also by its impact on people’s lives.

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In his goodwill message, Chief Consultant at B. Adedipe Associates Limited, Biodun Adedipe, described the LEDU initiative as a credible framework for tracking economic performance and refining development strategies.

He noted that Lagos remains central to Nigeria’s economy, adding that its continued growth signals broader national progress.

“If Lagos works, a significant share of Nigeria’s commerce works,” he said, expressing optimism about the state’s economic future.

Meanwhile, the Chief Executive Officer of the Nigerian Economic Summit Group, Tayo Adeloju, urged the state government to prioritise affordable housing as a critical driver of shared prosperity.

He noted that high housing costs could limit upward mobility for low-income earners, stressing that making housing more accessible would enhance living standards and support inclusive growth.

Adeloju added that sustained fiscal discipline, improved service delivery, and a broader productive base would further strengthen Lagos’ position among Africa’s leading megacity economies.

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