A report by the National Bureau of Statistics has shown that Nigeria has recorded its worst trade deficit in at least twenty years in the fourth quarter of 2020.
According to the 2020 fourth quarter Foreign Trade in Goods Statistics report released by the statistics bureau on Tuesday, Nigeria’s annual merchandise trade deficit in 2020 stood at -N7.37 trillion.
The NBS in its report which is obtained by TOS News said in the fourth quarter of 2020, that Nigeria’s total merchandise trade stood at N9.12 trillion, representing 8.9 per cent over the level recorded in the third quarter of 2020.
However, the figure was 9.9 per cent lower when compared to the fourth quarter of 2019.
The value of trade in the fourth quarter was the highest recorded over the past year, the NBS said.
The export component of trade stood at N3.19 trillion, an increase of 6.7 per cent over the preceding quarter but a drop of 33 per cent over the previous year. But the share of exports in total trade declined to 35 per cent in Q4 2020 from 47% a year earlier, the report said.
“On the other hand, total imports reached a record high at N5.92 trillion in Q4 2020, an increase of 10.1% over the preceding quarter, and 10.8% over the preceding year,” it said.
Imports also accounted for 65 per cent of total trade in Q4 2020, compared to 53 per cent the previous year.