Nigeria’s trade surplus surged by 209.6% to N18.86 trillion in 2024, up from N6.09 trillion in 2023, according to the latest Foreign Trade Statistics report released by the National Bureau of Statistics (NBS). The report, which covers the fourth quarter of 2024 (Q4’24), also revealed a significant increase in Nigeria’s trade with Economic Community of West African States (ECOWAS) member countries, which rose by 159.8% year-on-year (YoY) to N6.08 trillion in 2024.
The total merchandise trade for 2024 stood at N138 trillion, marking a 55% increase from N88.8 trillion in 2023. Exports grew by 115% YoY to N77.4 trillion, while imports rose by 96% YoY to N60.6 trillion. The substantial growth in exports, particularly in the oil and gas sector, contributed to the record trade surplus, reflecting Nigeria’s improved trade performance despite global economic challenges.
ECOWAS Trade Highlights
Nigeria’s trade with ECOWAS countries also saw remarkable growth, with exports to the region increasing by 161% YoY to N5.64 trillion in 2024, up from N2.17 trillion in 2023. Imports from ECOWAS member states grew by 160.7% YoY to N438.56 billion in 2024, compared to N168.22 billion in 2023.
The quarterly breakdown of ECOWAS trade showed fluctuations, with trade values peaking at N1.84 trillion in the second quarter of 2024 (Q2’24) before declining to N1.62 trillion in Q3’24 and further to N1.2 trillion in Q4’24. Despite the quarterly variations, the overall annual performance demonstrated Nigeria’s strengthening economic ties with its West African neighbors.
Key Trading Partners and Commodities
Ivory Coast emerged as Nigeria’s top trading partner within ECOWAS, accounting for N756.37 billion worth of exports in Q4’24. Other significant export destinations included Senegal (N236.87 billion), Togo (N47.97 billion), Ghana (N36.26 billion), and Benin Republic (N31.56 billion). Together, these countries represented 94.33% of Nigeria’s total exports to ECOWAS in Q4’24.
On the import side, Ivory Coast also led with N41.40 billion, followed by Ghana (N22.96 billion), Liberia (N4.04 billion), Niger Republic (N2.62 billion), and Togo (N2.21 billion). These five countries accounted for 90.45% of Nigeria’s total imports from ECOWAS in Q4’24.
Major Export and Import Commodities
Petroleum oils and oils obtained from bituminous minerals dominated Nigeria’s exports to ECOWAS, contributing N911.38 billion or 77.52% of total exports in Q4’24. Other key export commodities included electrical energy (N75.66 billion), dredgers (N73.99 billion), cigarettes containing tobacco (N27.24 billion), and liquefied petroleum gases (N10.81 billion). These top five export products represented 93.49% of Nigeria’s total exports to the region.
In contrast, Nigeria’s imports from ECOWAS were primarily crude palm oil (N10.13 billion), petroleum bitumen (N14.38 billion), cocoa powder (N8.13 billion), beauty or makeup preparations (N4.93 billion), and liquefied petroleum gases (N4.01 billion). These commodities accounted for a significant portion of Nigeria’s imports from ECOWAS, reflecting the region’s role as a supplier of agricultural and industrial products.
Implications of the Trade Surplus
The record trade surplus underscores Nigeria’s improved economic performance in 2024, driven by increased export revenues, particularly from the oil and gas sector. The growth in trade with ECOWAS countries also highlights Nigeria’s strategic position as a key player in regional trade and economic integration.
However, the reliance on petroleum exports as the primary driver of trade surplus raises concerns about the need for diversification. Experts have called for increased investment in non-oil sectors, such as agriculture, manufacturing, and services, to ensure sustainable economic growth and reduce vulnerability to fluctuations in global oil prices.
The NBS report also emphasizes the importance of strengthening trade relations within ECOWAS to enhance regional economic cooperation and development. By leveraging its position as West Africa’s largest economy, Nigeria can play a pivotal role in fostering intra-regional trade and addressing challenges such as infrastructure deficits and trade barriers.
Conclusion
Nigeria’s impressive trade performance in 2024 reflects the country’s resilience and potential for economic growth. The record trade surplus and increased trade with ECOWAS member states are positive indicators of Nigeria’s economic recovery and integration into the global economy. However, sustained efforts to diversify the economy and address structural challenges will be critical to maintaining this momentum and ensuring long-term prosperity.
As Nigeria continues to navigate the complexities of global trade, the focus will be on implementing policies that promote export diversification, enhance regional trade, and create opportunities for sustainable development. The NBS report provides valuable insights into Nigeria’s trade dynamics, offering a roadmap for policymakers and stakeholders to build on the achievements of 2024 and drive inclusive economic growth.
