Nigeria attracted a cumulative $2.11 billion in foreign direct investment between 2023 and the first quarter of 2026, signalling a gradual recovery in long-term foreign capital.
Foreign direct investment rose from $377.38 million in 2023 to $674.71 million in 2024, representing growth of about 79%. It increased again to $923.01 million in 2025 before reaching $135.08 million in the first quarter of 2026.
The improvement suggests that investors are returning to selected parts of the Nigerian economy after years of weak inflows, foreign-exchange shortages and policy uncertainty.
Oil and gas, manufacturing, power, digital infrastructure, mining and agro-processing have emerged as the six sectors attracting some of the most substantial investment projects.
However, the figures require careful interpretation. The $2.11 billion represents cumulative FDI recorded under Nigeria’s capital-importation data. It is not the combined value of every major project announced across the six sectors.
Some large investments are financed over several years, while multilateral loans, domestic capital and reinvested company earnings may not appear immediately as FDI.
Nigeria’s FDI Recovery Remains Modest
Nigeria’s FDI has increased for two consecutive years, but it remains a small part of the country’s total foreign capital inflows.
The National Bureau of Statistics reported that Nigeria received $10.37 billion in total capital importation during the first quarter of 2026. Portfolio investment accounted for $9.86 billion, or 95.09% of that amount.
FDI contributed only $135.08 million, representing 1.30% of the total. Other investments accounted for the remaining $374.48 million.
This distinction matters because portfolio investors usually buy stocks, bonds and money-market securities. They can also withdraw their capital more quickly when interest rates or market conditions change.
FDI is generally considered more durable because it involves investors building factories, buying productive assets, developing infrastructure or establishing long-term business operations.
Nigeria’s rising capital importation is positive, but the economy still needs a larger share of stable, productivity-enhancing investment.
Oil and Gas
Oil and gas remain Nigeria’s leading destination for major foreign investment projects.
TotalEnergies and the Nigerian National Petroleum Company approved a $550 million investment in the Ubeta gas field in 2024. The development is expected to supply additional feedstock to Nigeria LNG.
Investment activity continued in July 2026 when ExxonMobil and its partners secured regulatory approval for the $1 billion Usan Infill Project.
The offshore development is expected to add about 40,000 barrels of crude oil per day. It also represents ExxonMobil’s return to major drilling activity in Nigeria after a long pause.
Projects such as Bonga North, Ubeta and Usan suggest that fiscal reforms are encouraging international oil companies to reconsider large Nigerian developments.
However, Nigeria must ensure that higher investment leads to increased production, local contracts, employment and government revenue.
Manufacturing
Manufacturing ranks among the strongest investment destinations because of major projects in refining, petrochemicals and industrial processing.
Dangote Refinery has created a new domestic market for crude oil while reducing Nigeria’s dependence on imported petroleum products. Its associated polypropylene plant is also expected to supply manufacturers producing packaging materials, textiles and consumer products.
In February 2026, Dangote signed a $400 million equipment agreement with Chinese machinery manufacturer XCMG. The agreement supports plans to expand the refinery complex and develop wider industrial operations in Lekki.
These investments could support new manufacturing supply chains. However, high electricity costs, expensive credit and exchange-rate volatility remain serious obstacles for industrial companies.
Nigeria must improve the operating environment if it wants investment to extend beyond a small number of large conglomerates.
Power and Renewable Energy
Nigeria’s electricity shortage has created a significant investment opportunity for renewable-energy companies and development finance institutions.
The World Bank approved $750 million for the Distributed Access through Renewable Energy Scale-up programme. The project aims to provide more than 17.5 million Nigerians with new or improved electricity access through mini-grids and standalone solar systems.
The programme is also expected to leverage more than $1 billion in private capital and provide reliable electricity to as many as 237,000 small and medium-sized businesses.
Private developers are expanding solar systems for businesses that need alternatives to unreliable grid power and expensive diesel generators.
The sector’s investment potential is strong because electricity demand remains much higher than available supply.
Technology Investment
Digital infrastructure has become another important destination for long-term capital.
Investors are targeting data centres, fibre networks, cloud computing, broadband and telecommunications infrastructure.
Equinix expanded Nigeria’s data-centre capacity following its acquisition of MainOne, while global submarine cable systems have increased the country’s international internet capacity.
MTN Nigeria and Airtel Nigeria also continue to invest in fibre deployment, 4G and 5G infrastructure, network expansion and enterprise services.
Nigeria’s large population and growing demand for digital services make the sector attractive.
However, technology companies still face high energy costs, multiple taxes, right-of-way charges and difficulties importing equipment.
Resolving these problems could help Nigeria become a stronger regional hub for cloud services, financial technology and artificial intelligence infrastructure.
Mining
Nigeria’s mining sector is attracting new interest as global demand rises for lithium and other minerals used in batteries and renewable-energy technologies.
Chinese company Canmax Technologies commissioned a $200 million lithium-processing plant in Nasarawa State in 2024.
Other investors have announced processing facilities in Kaduna, Abuja and other mineral-producing locations. The government is encouraging companies to process minerals locally instead of exporting raw ore.
Local processing could create more value than raw mineral exports. It could also support manufacturing and improve export earnings.
However, the sector needs transparent licensing, reliable geological data, stronger environmental standards and better protection for host communities.
Agro-Processing
Agriculture and agro-processing complete the group of six leading sectors.
The first phase of Nigeria’s Special Agro-Industrial Processing Zones programme has mobilised about $538 million from the African Development Bank and other development partners.
The programme will establish processing hubs close to farming communities in selected states and the Federal Capital Territory.
The zones are designed to reduce post-harvest losses, improve storage and encourage local processing of agricultural products.
Investors are also expanding operations in cocoa processing, flour milling, edible oils, animal feed and food manufacturing.
Nigeria can strengthen food security and export earnings by converting more agricultural produce into finished and semi-finished products.
