A man walks past an electronic quotation board displaying the foreign exchange rate of Japanese yen against the US dollar (R) and the rate of 10-year government bonds (L) along the sidewalk in downtown Tokyo on January 28, 2026. (Photo by Kazuhiro NOGI / AFP) Nigeria’s total foreign exchange utilisation expanded by a massive 77 per cent in 2025, climbing from $26.65bn in 2024 to $47.17bn over the 12-month period, driven largely by a resurgence in non-agricultural sectors.
A Lagos-based finance and economic expert, Sola Adekanmbi, suggested that this aggressive expansion indicates a major rebound in activities like manufacturing and industrial retooling, which required heavier capital injections in 2025. He said, “An expanding forex pie coupled with a shrinking food bill is exactly what the economy needs to witness for sustainable long-term growth.
It implies that liquidity is increasingly being directed toward productive capacity and industrial inputs rather than consumption.” Concurrently, Nigeria’s food import bill decreased to $2.34bn in 2025, marking a 7.37 per cent decline from the $2.53bn recorded the previous year.
According to financial analysts, this shift signals a critical transition in the nation’s economic priorities. “We are seeing a structural realignment in how the country allocates its hard currency,” noted an analyst reviewing the data from the CBN’s latest Quarterly Statistical Bulletin.
Related News Tinubu reforms stabilised economy, welfare lags – CPPE Banks:Bad loans rise after CBN ends forbearance Rising cost of living in an election year The analyst added, “The drop in food-related foreign exchange demand suggests a moderation in import reliance, even as Nigeria continues to navigate food security challenges.” The most dramatic shift highlighted in the CBN bulletin was how small food imports have become relative to the rest of the expanding economy.
The share of food imports in total foreign exchange utilisation plummeted from 9.49 per cent in 2024 to just 4.97 per cent in 2025. “Food imports took up a much smaller portion of overall forex demand, even though the economy used substantially more foreign exchange across other vital sectors,” the CBN report stated.
Data from the apex bank revealed that food imports consumed an average of $195.28m monthly throughout 2025. While the first half of the year saw a low of $141.13m in April, demand strengthened significantly in the latter half, peaking in September at $248.60m. While the first half of the year saw a low of 141.13m in April, demand strengthened significantly in the latter half, peaking in September at $248.60m.
A CBN official, speaking on condition of anonymity, explained the monthly fluctuations, saying, “The spikes we observed in the third and fourth quarters, particularly the September peak, reflect traditional seasonal stocking ahead of the festive period. However, the macro trend remains clear: the overall trajectory for food import financing is leaning downward.” A Lagos-based finance and economic expert, Sola Adekanmbi, suggested that this aggressive expansion indicates a major rebound in activities like manufacturing and industrial retooling, which required heavier capital injections in 2025.
He said, “An expanding forex pie coupled with a shrinking food bill is exactly what the economy needs to witness for sustainable long-term growth. It implies that liquidity is increasingly being directed toward productive capacity and industrial inputs rather than consumption.” Concurrently, Nigeria’s food import bill decreased to $2.34bn in 2025, marking a 7.37 per cent decline from the $2.53bn recorded the previous year.
“We are seeing a structural realignment in how the country allocates its hard currency,” noted an analyst reviewing the data from the CBN’s latest Quarterly Statistical Bulletin. Related News Tinubu reforms stabilised economy, welfare lags – CPPE Banks:Bad loans rise after CBN ends forbearance Rising cost of living in an election year The analyst added, “The drop in food-related foreign exchange demand suggests a moderation in import reliance, even as Nigeria continues to navigate food security challenges.” The most dramatic shift highlighted in the CBN bulletin was how small food imports have become relative to the rest of the expanding economy.