Home Tech News Nigeria’s telecoms capital imports hit $77.54m in Q2 2016

Nigeria’s telecoms capital imports hit $77.54m in Q2 2016

Nigeria’s telecoms capital imports hit $77.54m in Q2 2016
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The Federal Government has said that capital importation in the Nigerian telecoms sector has grown to $77.54 million at the end of  Q2 2016.

[quote font=”georgia” font_size=”22″ font_style=”italic” align=”left” arrow=”yes”]Additionally, NBS says the considerable uncertainty surrounding future exchange rate policy and the depreciation of the Naira in the second quarter may have deterred investors, factors likely to have contributed to the record decline in capital importation.[/quote]Technology Times review of the Nigeria Capital Importation Report Q2 2016 by Nigerian Bureau of Statistics (NBS), the government agency that develops and manages official statistics shows that telecoms capital importation in the country recorded the largest increase with about $64.10 million over the previous figure of $13.44 million.

IT service sector imported a value of $0.94 million in Q2 2016, a decrease in IT service capital importation compared to Q1 when it imported $1.02 million.

GSM base station
A telecoms base station

Overall the total value of capital imported into Nigeria in the second quarter of 2016 was estimated to be $647.1 million, which represents a fall of 8.98% relative to the first quarter, and a fall of 75.73% relative to the second quarter of 2015.

NBS attributes the continuing decline in the value of capital imported into the economy to the difficult period that the Nigerian economy is currently going through. The economic recession during this period may suggest less profitable opportunities for investment, leading to a drop in import value for the period.

Additionally, NBS says the considerable uncertainty surrounding future exchange rate policy and the depreciation of the Naira in the second quarter may have deterred investors, factors likely to have contributed to the record decline in capital importation.

Other sectors included in the NBS data on capital importation include Construction, Agriculture, Oil and Gas, Brewing, Fishing, and Transportation.

The NBS chart below shows Nigeria’s Capital Importation by sector in Q2 2016. (Figures in $ million)

a-chart-on-nigerias-capital-importation-in-q2-2016

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Success Kafoi Journalist at Technology Times Media. Mobile: 08077671673 email: success.kafoi@technologytimes.ng

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