Nigeria tops West Africa in intra-African commerce with $18.4 billion in 2024 — Afreximbank
Nigeria led West Africa because the area’s largest intra-African buying and selling nation in 2024, hitting $18.4 billion in commerce final yr.
That is in response to a report launched by the African Export-Import {Bank} (Afreximbank) on Wednesday.
The flagship report, titled “2025 African Commerce Report,” was launched by Prof. Benedict O. Oramah, President and Chairman of the Board of Administrators of Afreximbank; Vice President of the Federal Republic of Nigeria, Kashim Shettima(represented by Mr. Tope Fasua) ; Mr. Denys Denya, Senior Government Vice President of Afreximbank; and different prime executives on the ongoing Afreximbank Annual Conferences attended by Nairametrics.
Intra-Africa Commerce Particulars
In line with the report, “In West Africa, Nigeria emerged because the area’s largest intra-African buying and selling nation as commerce with the remainder of Africa expanded to achieve roughly US$18.4 billion in 2024, up from simply US$8.1 billion in 2023.”
- Crude oil remained Nigeria’s major export to African markets throughout the interval, however there was rising momentum towards refined product exports following the operational launch of the Dangote Refinery.
“The refinery, Africa’s largest with a processing capability of 650,000 barrels per day, started supplying petroleum merchandise on to Cameroon and different neighbouring markets,” the report added.
This improvement, the report states, is predicted to scale back dependency on intermediaries and foster regional vitality integration.
- In 2024, intra-African commerce demonstrated a gradual but constant development towards deeper continental integration, even amid international {economic} uncertainties, mirrored within the strong development of intra-African commerce throughout 2024 in contrast with a contraction in 2023, the report added.
- This upturn was largely pushed by stronger efficiency in main economies corresponding to Nigeria and Morocco, offsetting weaker performances in Ethiopia and Côte d’Ivoire.
The report states that South Africa maintained its place because the main intra-African buying and selling nation in 2024.
“South Africa’s intra-African commerce continued to be bolstered by sturdy ties inside the Southern African Customs Union and the Southern African Improvement Neighborhood. Notably, Mozambique, Botswana, Zimbabwe, Namibia, and Zambia remained amongst South Africa’s key buying and selling companions,” the report added.
- As a complete, the report disclosed that intra-African commerce reached $220.3 billion in 2024, in contrast with $196.04 billion in 2023 and US$208.3 billion in 2022.
- The highest 5 intra-African exporters in 2024, in response to the report, are South Africa, Côte d’Ivoire, Egypt, Nigeria, and Zimbabwe.
These 5 international locations are adopted by Mali, Ghana, Zambia, the Democratic Republic of Congo, and Namibia.
Nigeria In Focus
Professor Benedict Oramah, President and Chairman of the Board of Administrators of Afreximbank, in his welcome handle, stated the unwavering assist from the Federal Authorities of Nigeria, evident in its unequivocal response to capital calls and the removing of regulatory hurdles, has been instrumental within the {bank}’s enterprise operations in Nigeria and elsewhere within the West African sub-region.
“With the backing of the Nigerian Authorities and the collective efforts of all our stakeholders, we now have positioned the {Bank} on the forefront of Africa’s socio-economic battle and rallied the assist of political leaders and policymakers behind it,” he said.
- He revealed that over the previous 32 years, Afreximbank has mobilised over $250 billion into Africa, empowered industries lengthy uncared for by typical financiers, and served as a lifeline throughout crises — from the COVID-19 pandemic to commodity shocks and damaged provide chains.
What You Ought to Know
Nigeria’s complete commerce exports surged to $50.4 billion in 2024, pushed by change charge depreciation and the elimination of gasoline subsidies, which boosted the nation’s commerce steadiness.
- Information from the Nationwide Bureau of Statistics (NBS) confirmed that Nigeria recorded a complete commerce quantity of N138 trillion, the very best within the nation’s historical past, representing a 106% enhance in comparison with the earlier yr.
- Whereas Nigeria’s overseas commerce knowledge paints a constructive image and boosts confidence within the economic system, you will need to notice that the figures exclude commerce in providers, which constitutes a good portion of the nation’s overseas change demand.
- Nigeria spends closely on imported providers, significantly in sectors corresponding to know-how, consulting, technical providers, and assist.
- These outflows contribute to the persistent strain on the change charge and considerably impression the precise present account steadiness.
Regardless of this, knowledge from the Central {Bank} of Nigeria (CBN) reveals that Nigeria recorded a present account steadiness of $5.14 billion in Q3 2024, in response to the CBN’s Stability of Commerce report.
This means some enchancment in exterior accounts, even because the nation continues to grapple with forex-related challenges.
