This increase in the FPI shows the interest of foreign investors in Nigeria's investment market has exuded some positivity as the latest FPI trading data has shown an increase in the trade volume.
Nigeria's FPI status rises as foreign investments reach net surplus of N10.2 billion
Nigeria has retained its position as an enviable investment destination as emerging details have revealed the country’s Foreign Portfolio Investment, FPI inflows have built up a net surplus of N10.2 billion.
The FPI report which converged from January 2022 to November 2022, an 11-month period also revealed that the total value of foreign inflows stood at N187.12 billion while the total value of outflow stood at N176.90 billion.
This increment represented a surplus of N10.2 billion during the period and showed positive gains when compared with the figures in 2021.
The FPI showed negative projections in the corresponding period of 2021 with the country recording outflows of N209.76 billion, a figure that far outpaced the inflows which stood at N189.42 billion.
This further led to a deficit of N20.34 billion, during the period.
Nigerian stocks have over the past four months, enjoyed patronage from foreign investors as the latest data has shown there has been more purchase trade than sales trade in the market.
In the third quarter of 2022, Nigeria’s FPIs rose to N321.04 billion representing an increase of about 11.8 percent when compared to N287.2 billion recorded in the corresponding period of 2021, Q3’21.
When the value of outflow trade outpaces inflows, the implication is that foreign investors are selling more of their investments in the country than buying more investments but when inflows surpass outflows, it means foreign investors are more interested in buying more investments in the country than they are selling.
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