Nigeria’s expenditure on overseas medical treatment declined sharply in 2025, signalling a major shift in healthcare utilisation and foreign exchange demand, according to data from the Central Bank of Nigeria (CBN).
An analysis of CBN records covering the first half of 2025 shows that spending on outbound medical travel fell by over 96 percent compared with the same period a year earlier. The scale of the drop points to a sustained contraction rather than a temporary slowdown.
In monetary terms, medical tourism-related foreign exchange usage that previously ran into millions of dollars has reduced to well below one-tenth of its prior level within a year. While spending in early 2024 was inflated by a single, unusually large outflow at the start of the year, expenditure declined rapidly thereafter and remained persistently low throughout the first six months of 2025.
What stands out in the 2025 data is consistency. Unlike the volatility observed in the previous year, outbound medical spending remained minimal across successive months, with no material rebound. This pattern suggests structural changes in behaviour rather than deferred travel or seasonal effects.
Several factors appear to be driving this shift. Foreign exchange reforms introduced between late 2024 and early 2025 tightened oversight of FX utilisation, improving transparency and limiting discretionary access. These measures reduced leakages and curbed non-essential capital outflows, including medical travel that had long been a pressure point for Nigeria’s FX market.
At the same time, domestic healthcare capacity has expanded. Since 2023, government investment in public health facilities, combined with increased private sector participation, has improved access to specialised care within the country. More Nigerian hospitals now provide services that previously compelled patients to seek treatment abroad, including advanced diagnostics, specialised surgeries, and long-term disease management.
This improved capacity has changed patient behaviour. Many Nigerians who would once have travelled overseas are now accessing treatment locally. In parallel, diaspora Nigerians are increasingly returning home for medical procedures, attracted by shorter waiting times, lower costs, and access to experienced medical professionals. Some facilities are also drawing patients from neighbouring countries, reversing the long-standing direction of medical-related capital flows.
The impact extends beyond patients. Medical professionals practicing in Nigeria are seeing improved demand for their services, better remuneration, and greater exposure to modern equipment as hospitals expand capacity to meet rising local and regional demand. This has helped strengthen retention and professional development within the sector.
Health financing reforms have further supported the trend. Expanded health insurance coverage and targeted subsidy programmes have lowered financial barriers to care, while partnerships between Nigerian hospitals and international health-focused organisations have helped subsidise specialised services for qualifying low-income patients.
From an economic standpoint, the reduction in medical tourism spending has eased pressure on foreign exchange demand. Resources that would previously have been spent abroad are now circulating within the domestic economy, supporting healthcare delivery, employment, and allied industries such as pharmaceuticals and medical logistics.
Although challenges remain, including uneven access to advanced healthcare across regions, the data indicates a clear departure from past trends. Nigeria’s healthcare system is increasingly absorbing demand that once flowed overseas, with important implications for both public health outcomes and macroeconomic stability.
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