In the fourth quarter of 2020, Nigeria recorded a negative balance of trade amounting to N2.731 trillion.
Total merchandise trade during the period stood at N9,120.2 billion, representing 8.9 per cent over the level recorded in the third quarter but was 9.9 per cent lower when compared to the fourth quarter of 2019.
Total imports reached a record high at N5,925.7 in Q4 2020, an increase of 10.1 per cent over the preceding quarter, and 10.8 per cent over the preceding year.
On the other hand, the total value of export stood at N3,194.5 billion, accounting for 35 per cent of total trade.
According to a report by the National Bureau of Statistics (NBS) released on Tuesday, the value of trade in Q4 was the highest recorded over the past year.
“The export component of trade stood at N3,194.5 billion, an increase of 6.7 per cent over the preceding quarter but a drop of 33% over the previous year.
“Further, the share of exports in total trade declined to 35 per cent in Q4 2020 from 47 per cent a year earlier.
“Imports also accounted for 65 per cent of total trade in Q4 2020, compared to 53 per cent the previous year.
As the value of imports nearly doubled the value of exports, the trade deficit rose to its highest level and a fifth consecutive quarterly deficit at -N2,731.2billion, an increase of 14.30 per cent compared to the preceding quarter.
On an annual basis, total trade was valued at N32,420.7 billion in 2020, or 10.3 per cent less than the value recorded in 2019.
The value of total imports in 2020 stood at N19,898.0billion, or 17.3 per cent higher than in 2019, while total exports were valued at N12,522.7billion, or 34.8 per cent less than in 2019.
The annual merchandise trade deficit in 2020 was recorded at -N7,375.3billion.
During the fourth quarter of 2020, total imports were valued at N5,925.7 billion accounting for 65 per cent of total trade.
This was followed by India (N506 billion or 8.5 per cent), the United States (N408.6 or 7.57 per cent), the Netherlands (N424.5billion, or 7.2 per cent) and Denmark (N319.9billion, or 5.4 per cent).
In Q4 2020, the value of total export stood at N3,194.5 billion, accounting for 35 per cent of total trade.
The export value rose by 6.7 per cent against the level recorded in Q3, 2020 but fell by 33 per cent when compared to Q4,2019.
Exports of agricultural goods were valued at N55.8billion or 1.75 per cent of total exports in Q4 2020. Compared to N60.6 billion recorded in Q3 2020, the value of agricultural exports fell by 8 per cent and by 18.2 per cent when compared to the corresponding quarter in 2019.
Nigeria may be close to flattening the curve of the COVID-19 pandemic as confirmed cases in the country keep dropping weekly, Tribune Online analysis has shown. This is even as the much-expected COVID-19 vaccines arrived in Abuja, the Federal Capital Territory last Tuesday…Nigeria’s trade deficit worsens to N2.731trn in Q4 2020