Nigeria’s foreign exchange reserves have increased by more than $1 billion within two weeks, reinforcing the country’s external liquidity position and reflecting renewed confidence in the foreign exchange market.
Latest data from the Central Bank of Nigeria (CBN) showed that the nation’s gross external reserves climbed above the $50 billion mark in early June, reaching approximately $50.11 billion, the highest level recorded in about 17 years.
The development represents a significant improvement from the reserve levels recorded in late May and underscores the impact of ongoing reforms aimed at stabilising the foreign exchange market and attracting foreign capital inflows.
Analysts attribute the reserve accretion to stronger foreign exchange receipts, improved investor confidence, and sustained policy measures introduced by the CBN under Governor Olayemi Cardoso. The growth in reserves is expected to strengthen the country’s ability to meet external obligations, support exchange rate stability, and cushion the economy against global financial shocks.
Data indicate that Nigeria’s reserves rose steadily from below $49 billion in late May to surpass $50 billion in the first week of June, marking one of the strongest reserve build-ups in recent years.
The reserve growth comes amid improving conditions in the foreign exchange market, where the naira has recently recorded gains against major currencies, supported by increased dollar inflows and tighter monetary management.
Economic experts note that a stronger reserve position enhances the CBN’s capacity to manage exchange rate volatility while boosting investor confidence in the Nigerian economy. It also provides a stronger buffer against external shocks, particularly fluctuations in global commodity prices and capital flows.
The latest figures represent a sharp increase compared to the same period last year, highlighting the progress made in rebuilding Nigeria’s external buffers and strengthening macroeconomic stability.
