Capital importation to manufacturing sector rises 88.2% to $861m


•Analyst expresses surprise, worries over sustainability

Total capital inflow into the Nigeria’s manufacturing sector rose Year-on-Year (YoY) by 88.17 percent in the first half of the year ended June 30, 2023 (H1’23).


Findings from the National Bureau of Statistics (NBS) data showed that inflow into the sector jumped to $861.17 million in H1’23 from $457.66 million in H1’22.

The data also shows that the share of inflow to the manufacturing sector to the total capital inflow for the six month period rose to 39.81 percent in H1’23 from 14.73 percent in H1’22, representing a 25.08 percentage point increase. Total capital importation in H1’23 stood at $2.163 billion.

Inflow through the sector increased Quarter-on-Quarter by 136.2 percent to $605.04 million in Q2’23 as against $256.12 million in Q1’22. This also represented 58.73 percent of total capital imported in Q2 2023. The sectoral breakdown shows that the manufacturing sector recorded the highest inflow during the period followed by the banking sector, which attracted $499.14 million.

The information and technology services, financing, and shares sectors ranked among the top five sectors of interest.

Commenting on the development, Ayorinde Akinloye, an economic and investment strategist, expressed surprise at the surge in inflow into the manufacturing sector, saying that it was more of an outlier.

He stated: “I don’t think there’s a broad economic explanation for what happened. It is likely a situation whereby a major piece of equipment was imported into the sector. You will recall that sometime in 2018, Aliko Dangote imported one equipment for his refinery and that sort of boosted imported capital and foreign trade as at that time. That may be what also happened in this case.”

Akinloye, however, said that the fact that the surge seen during the period was an outlier would make it difficult to sustain the trend going forward.

“The economic fundamentals that should aid improvement in capital importation through production and manufacturing are not there. Foreign Exchange (forex) remains a problem; the business operating environment also remains quite difficult,” he said.

Speaking in the same vein, Chinazom Izuora, Senior Associate at Parthian Securities Limited, said: “Higher dollar interest rates, the liberalization of the Naira and the FX supply challenges are likely to put a strain on the ability of Nigerian businesses to service dollar obligations.

Companies that have foreign operations or FX earnings are better positioned to service dollar obligations.

“Therefore, Nigerian producers/manufacturers need to produce not just for local consumption but to export in order to improve dollar supply and bolster the economy.”

https://www.vanguardngr.com/2023/11/capital-importation-to-manufacturing-sector-rises-88-2-to-861m/amp/

Here's one of those realities naysayers will struggle to comprehend because they have been focused on their negativity for too long.
Same period they were lamenting, others were bringing in billions into Nigeria to take advantage of business opportunities.

The man interviewed was so confused that instead of requesting to see the data,he was misleading himself, he has doing theory for so long that he forgot that Economics is social science and manufacturing is practical science.

If you have been following the capital market, that data should not surprise you. An Ibadan-based company that has been moribund for years recieved about $12m in that same quarter and the sovereign foreign investor organisation even promised to bring more funds to support more businesses in some sectors it listed. That particular foreign investor invests in companies with problems but when revived and turned around have the capacity to employ a large number of people.

The Federal government, state government and all those individuals/organisations that made this possible deserve the applaud , thank you for investing in Nigeria.

We need more investments and I urge investors to invest in Nigeria, bring your investments to Lagos and the neighbouring South West states for great returns on investment and the best investor friendly experience.
God bless Nigeria for ever! Check my signature for free stuffs!

Yoruba economy is dead and buried. Nothing is working nor moving again.
The once thriving yoruba economy is in comatose.
Thanks to Tinubu!

On your mandate we shall stand!

Funny

The senseless certificate forger and his trial and error economy

Just watch as those hungry zombies will start crawling out from their cave and start hailing nonsense on top hungry stomach just like the full up there

FreeStuffsNG:
Here's one of those realities naysayers will struggle to comprehend because they have been focused on their negativity for too long.
Same period they were lamenting, others were bringing in billions into Nigeria to take advantage of business opportunities.

The man interviewed was so confused that instead of requesting to see the data,he was misleading himself, he has doing theory for so long that he forgot that Economics is social science and manufacturing is practical science.

If you have been following the capital market, that data should not surprise you. An Ibadan-based company that has been moribund for years recieved about $12m in that same quarter and the sovereign foreign investor organisation even promised to bring more funds to support more businesses in some sectors it listed. That particular foreign investor invests in companies with problems but when revived and turned around have the capacity to employ a large number of people.

The Federal government, state government and all those individuals/organisations that made this possible deserve the applaud , thank you for investing in Nigeria.

We need more investments and I urge investors. Invest in Nigeria, bring your investments to Lagos and the neighbouring South West states for great returns on investment and the best investor friendly experience.
God bless Nigeria for ever! Check my signature for free stuffs!

You have said it all, nothing to add except the popular saying that ''only fools sees problem as problems but the wise sees it as opportunities.

Which part of the divide are you?

If you are the type that wishes failure for your country because your candidates lost election, you don't need to be cursed because curses will not depart from you all the days of your life.

FreeStuffsNG:
Here's one of those realities naysayers will struggle to comprehend because they have been focused on their negativity for too long.
Same period they were lamenting, others were bringing in billions into Nigeria to take advantage of business opportunities.

The man interviewed was so confused that instead of requesting to see the data,he was misleading himself, he has doing theory for so long that he forgot that Economics is social science and manufacturing is practical science.

If you have been following the capital market, that data should not surprise you. An Ibadan-based company that has been moribund for years recieved about $12m in that same quarter and the sovereign foreign investor organisation even promised to bring more funds to support more businesses in some sectors it listed. That particular foreign investor invests in companies with problems but when revived and turned around have the capacity to employ a large number of people.

The Federal government, state government and all those individuals/organisations that made this possible deserve the applaud , thank you for investing in Nigeria.

We need more investments and I urge investors. Invest in Nigeria, bring your investments to Lagos and the neighbouring South West states for great returns on investment and the best investor friendly experience.
God bless Nigeria for ever! Check my signature for free stuffs!

There is a Lagos-based company that invests in such moribund companies. They take over management and turn such companies around. Their share price skyrocketed as a result of such business ingenuity.

[quote author=Obaofaba post=127038274]Very good[/e]
Shut up
What is good there

Okay

Yet no impact on the masses

EbolaTinubu:
The senseless certificate forger and his trial and error economy

Just watch as those hungry zombies will start crawling out from their cave and start hailing nonsense on top hungry stomach just like the full up there

They are here. Disciples of consumption to production. Kerosene drunkards.

SensualMan:
Yoruba economy is dead and buried. Nothing is working nor moving again.
The once thriving yoruba economy is in comatose.
Thanks to Tinubu!

On your mandate we shall stand!

Your moniker though
SenselessMan

FreeStuffsNG:
Capital importation to manufacturing sector rises 88.2% to $861m


•Analyst expresses surprise, worries over sustainability




https://www.vanguardngr.com/2023/11/capital-importation-to-manufacturing-sector-rises-88-2-to-861m/amp/

This is just the beginning , Elor fokan balé

This Freestuffs guy ehn omoh 🤦‍♂... Sometimes it's always doing me like I should curse you for real. Don't you feel the hardship at all? Y'all praise singers are the reason government thinks it's doing well while impoverishing the rest. I'm tired ooo

🤣🤣

It not be well with if you don't repent before 2015 you wanted Nigeria to fail because tribalism your confused tribeman is there you want everyyhing good for Nigeria.Hypocrite .

FreeStuffsNG:
Here's one of those realities naysayers will struggle to comprehend because they have been focused on their negativity for too long.
Same period they were lamenting, others were bringing in billions into Nigeria to take advantage of business opportunities.

The man interviewed was so confused that instead of requesting to see the data,he was misleading himself, he has doing theory for so long that he forgot that Economics is social science and manufacturing is practical science.

If you have been following the capital market, that data should not surprise you. An Ibadan-based company that has been moribund for years recieved about $12m in that same quarter and the sovereign foreign investor organisation even promised to bring more funds to support more businesses in some sectors it listed. That particular foreign investor invests in companies with problems but when revived and turned around have the capacity to employ a large number of people.

The Federal government, state government and all those individuals/organisations that made this possible deserve the applaud , thank you for investing in Nigeria.

We need more investments and I urge investors. Invest in Nigeria, bring your investments to Lagos and the neighbouring South West states for great returns on investment and the best investor friendly experience.
God bless Nigeria for ever! Check my signature for free stuffs!

THE YORUBA MAN SHOULD DO AND LEAVE THE ASO ROCK

Decode

E lo fo kan bale( Let your mind be settled),e ti ri nkankan ( you have not seen anything yet)...
God bless you @freestuff,I like your positivity, energy and penchant to always spread Good news about Nigeria, although we may disagree on Israel and Hamas but wetin concern me about Israel and Hamas.
I stand 10000% with you on Asiwaju,and your effort In trying to provide good news in the cacophony of Bad news about Nigeria especially on Nairaland.
Back to the matter, Nigeria won't stop surprising me,like freestuff mentioned,that economist in the article gave an impression that the recent inflow of capital was a one-off situation,but I repeat e ti ri nkankan( them never see anything).
As a regular visitor on the Ibeju-lekki corridor,I know and I'm sure of the amount of foreign capital that will flow into Ibeju-lekki,Lagos when Dangote Refinery starts full operation very soon. It will be mind-blowing figures.
The amount of factories,hospitality spots,schools,health facilities, recreational spots,not to talk of the numerous tourist spots that will spring up on the beach front can't be imagined.
Let the Naysayers continue to wallow in their ignorance,I marvel anytime I go through the Refinery,if Asiwaju could foresee the future and site a Trade free Zone believing that investors will come, I'm sure the problems of Nigeria is a mountain that he will surely surmount.
Still selling LAND in my Estate in Ibeju-lekki
https://www.nairaland.com/7905580/introducing-silvergate-estate-ibeju-lekki
God bless Nigeria.....

Let it keeps swelling

[quote author=Appletek post=127038350]

They are here. Disciples of consumption to production. Kerosene drunkards. [/quote

Goat

Kk

43Ronin:
This Freestuffs guy ehn omoh 🤦‍♂... Sometimes it's always doing me like I should curse you for real. Don't you feel the hardship at all? Y'all praise singers are the reason government thinks it's doing well while impoverishing the rest. I'm tired ooo

That @Freestuffs na real Olodo, ode - Zero comprehension of what he himself posted. It's really not easy defending that thieving criminal in Aso Rock.

If you read his post, it's obvious Dangote refinery's rushed capital imports of Jan - May prior to commissioning by Buhari resulted in that slight change.

Even the members of MAN interviewed in his post all pointed to Dangote Refinery's capital imports but Agbadorians are too dull to understand.
.

Renewed shege pro max....all thanks to agbado policies. This is the implication of "na statistics we go chop?".

What's exciting about this...? Dangote alone contributed hugely towards this by importing millions of dollars to pay part of the money he owed the CBN under Emefiele fir hha refinery. He mopped up the dollar in his foreign cement plants to pay this money.

Individually, Nigeria isn't faring well economically. SMEIs are packing up everyday. The last time I checked, they're the ones building the American economy. I wouldn't be surprised if what only what Dangote brought into Nigeria contributed to that statistics. One market analyst had even talked about this in the newspost. He said dangote at a time imported an equipment into the country, bla bla bla.

I didn't read of foreigners who came into Nigeria to invest. No local industries would say they're not patronising black marketers to source dollars because banks don't support anymore. To make that finished product, some foreign materials must be added because we don't produce them locally. That shoots up the price of finished products per unit.

guy

This freestuff guy is funny , he is trying to fault the opinion of the analyst , in economics everything has a blue print however theoretical , it’s saying , you having a shop , you’re not making sales , but your making profits , makes no sense , because true true , it’s not sustainable , for how long will that continue , it’s thesame magic they are doing with the dollar , no exportation and yet dollar is rising in the black market , and falling in the parallel import/export market .
You think business is easy Abi ?.

..it is another worthless piece of lies on paper..

These lies, deceit & propaganda will take the emilokans nowhere

Like Oliver Twist, we aspire for more, we hope for far better


Anything that turns us from consuming economy to manufacturing is highly welcome

GOD BLESS NIGERIA

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