Nigeria requires to increase export activities to improve FX inflow’

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Abstract：Some might be thinking how the need for increase in export activities could improve the flow of forex, but let's make it clear for all. When there are too many imports coming into a country in relation to its exports—which are products shipped from that country to a foreign destination—it can distort a nation’s balance of trade and devalue its currency. The devaluation of a country's currency can have a huge impact on the everyday life of a country's citizens because the value of a currency is one of the biggest determinants of a nation’s economic performance and its gross domestic product (GDP).

　　Some might be thinking how the need for increase in export activities could improve the flow of forex, but let's make it clear for all. When there are too many imports coming into a country in relation to its exports—which are products shipped from that country to a foreign destination—it can distort a nation‘s balance of trade and devalue its currency. The devaluation of a country's currency can have a huge impact on the everyday life of a country's citizens because the value of a currency is one of the biggest determinants of a nation’s economic performance and its gross domestic product (GDP).

　　While briefing on the matter Funmilayo Olotu, the Port Manager, Lagos Port Complex, has said that Nigeria requires more export activities to rise its forex inflow, as it is needed to enhance economic growth and development across the nation.

　　The port manager has commended the Nigerian custom service, Apapa command for their efforts to records over N245 billion export trade in 2021, adding that it is Great achievement for Nigerias economy particularly at the time were the Nigerian government needs more foreign exchange earnings for benefits of the nation.

　　She further describes the reason for Nigerian Ports Authority (NPA) to design the Lilypond Container Terminal to be the final processing centre for all export cargoes to go into the vessels at the port corridor for immediate exportation, which is because Nigeria as an import dependent country doesn't help the nation's economy in terms of productivity.

　　Olotu also said that they would soon inform the Nigerian custom service and other agencies of government to take-off date In due course as nothing that a lot of renovations are ongoing at the terminal

　　Whatever is done and sealed at the terminal can now approach the port without any stoppage along the port corridor, it is just for the containers to come into the port and go directly onto the vessels.

　　Nigeria Being an import-dependent nation, it is not building up our economy, only when we can export our goods and they reach the destination in the right quality and quantity that we can begin to compete effectively among ports in the subregion, she said.

　　Olotu, however, expressed the character of some truck drivers who she said are annoying the NPAs effort to assure that export goods do not only get to the port on time but are delivered in the right quality and quantity. As reported by her, rather than approach the port directly, the truck drivers now hang around the port corridor looking for more businesses and Terminal Delivery Orders (TDO).

　　She concluded saying that “We need more exports to build our economy. At this point, we need the support of all stakeholders in the maritime industry to increase our export capacity,” she added also that Maintaining the appropriate balance of imports and exports is crucial for a country. The importing and exporting activity of a country can influence a country's GDP, its exchange rate, and its level of inflation and interest rates.

　　Therefore Maintaining the appropriate balance of imports and exports is crucial for the rises in forex and the country in general. The importing and exporting activity of a country can influence a country's GDP, its exchange rate, and its level of inflation and interest rates.