The largest economy in Africa has a foreign investment problem despite exponential growth in crypto adoption.
The National Bureau of Statistics reported on Tuesday that foreign direct investment in Nigeria, the largest economy in Africa, dropped by 33% last year due to a severe shortage of dollars. The shortage has also discouraged crypto companies from expanding into the country. In 2022, investment declined to $468 million from the previous year’s $698 million. According to the data, FDI has decreased by approximately 90% since its peak of $4.7 billion in 2008.
The adoption of crypto in Nigeria has grown at an exponential rate. The country has active adult crypto traders, with many citizens now preferring to store their money in digital currencies over fiat cash due to the constant devaluation of the national currency, the naira. In Chainalysis’ 2020 Cryptocurrency Geography Report, Nigeria
eighth in crypto adoption and usage rate among 154 countries included in the study. This adoption rate is expected to have encouraged more foreign crypto investment in the nation but the reverse is the case.In an interview with Cointelegraph, local data analyst and crypto enthusiast, Obinna Uzoije, said the low rate of foreign investment in Nigeria could be attributed to the fact that the use of cryptocurrency was yet to go mainstream in the country.
directed all commercial banks to close accounts belonging to crypto exchanges and other businesses transacting in cryptocurrencies in the country.
Thats sad. It is what it is I guess lol
no one trusts investing in countries with corrupt government
The cradle of scam!
The hArDesT mOneY on the planet over the past 24 hours..... .........🤣🤣🤣
That famous prince flooded his bank account 😢
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