Economy

CBN Reports Strong Surge in Nigeria Current Account Surplus

Published

4 months ago

June 18, 2026

The Central Bank of Nigeria has reported a robust Nigeria current account surplus of $4.98 billion in Q1 2026, a sharp 255.7 percent rise driven by higher oil exports and lower fuel imports

The Central Bank of Nigeria through its latest Balance of Payments report, economic analysts, and key stakeholders in Abuja announced on Wednesday, June 17, 2026, the impressive expansion of Nigeria current account surplus to $4.98 billion in the first quarter of the year.

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This figure represents a remarkable 255.7 percent increase from the $1.40 billion recorded in the fourth quarter of 2025 and a 46 percent rise compared with the same period in 2025.

The improvement marks a significant boost to the country’s external position amid ongoing efforts to stabilise the economy.

Higher earnings from crude oil, gas, and refined petroleum product exports, combined with a steep drop in petroleum product imports, underpinned the strong performance.

Crude oil export receipts rose to $8.11 billion, while gas and refined petroleum exports also recorded notable gains. At the same time, refined petroleum imports plummeted by 87.5 percent to just $0.31 billion.

The goods account, the largest component of the current account, delivered a surplus of $5.95 billion, reflecting total exports of $15.49 billion against imports of $9.54 billion. Non-oil exports showed modest growth, while non-oil imports declined.

Services and primary income accounts posted deficits, though the latter narrowed due to lower dividend and interest payments abroad. Remittance inflows, captured in the secondary income account, moderated slightly to $5.57 billion.

The financial account remained in a net borrowing position of $2.51 billion, even as portfolio investment inflows strengthened. Overall, Nigeria achieved a balance of payments surplus of $2.38 billion, contributing to a rise in external reserves to $48.35 billion by the end of March.

This positive development comes against the backdrop of previous fluctuations in Nigeria’s external accounts, often tied to volatile oil prices and high fuel import bills.

The latest figures highlight the benefits of improved domestic refining capacity and higher production levels in easing pressure on the foreign exchange market.

Also read: CBN Retains Interest Rate Amid Inflation Risks

Analysts view the outcome as encouraging, though they caution that sustained gains will depend on continued stability in oil output, diversification of exports, and prudent management of imports.

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Economy

NRS Assures Taxpayers VAT Remains at 7.5% Amid Tax Reform Concerns

Published

19 hours ago

October 27, 2026

Peculiar Adirika

NRS VAT rate remains 7.5%, the agency says, while addressing concerns over bank deductions, loans and the implementation of Nigeria’s tax reforms

The Nigeria Revenue Service (NRS) has assured taxpayers that Nigeria’s standard Value Added Tax (VAT) rate remains 7.5 per cent, while addressing concerns over the implementation of the country’s new tax reforms.

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The assurance was given by the Tax Administrator responsible for Kano, Jigawa and Katsina states, Samaila Abdullahi, during an NRS stakeholders’ engagement and tax reform sensitisation programme in Kano.

Abdullahi said concerns raised by individuals, traders, business owners and other stakeholders about the new tax laws were understandable, particularly questions relating to bank transactions, loans, family transfers, business income and the potential impact on small businesses.

He urged taxpayers to understand the reforms through the provisions of the law rather than rely on assumptions or misinformation.

According to him, the tax laws do not automatically authorise deductions from personal bank accounts.

He stressed that tax collection and recovery must follow the applicable legal provisions and procedures.

Abdullahi also clarified that money received as a loan should not automatically be classified as business income or profit, explaining that proper documentation is essential to establish the nature of a transaction.

“For instance, when a trader receives a loan of N500,000, the amount should not automatically be treated as N500,000 in sales or profit, provided the transaction is properly documented,” he said.

The NRS official’s comments were aimed at addressing public concerns about how the new tax framework would affect personal finances and business transactions.

He emphasised the importance of distinguishing between taxable business receipts and other funds, such as documented loans, when determining a taxpayer’s obligations.

The clarification comes amid heightened public interest in Nigeria’s tax reforms and questions about their implications for individuals, traders and small businesses.