Home » Nigeria Net FX Reserves Rise to $34.8 Billion as Reforms Support Inflows

Nigeria Net FX Reserves Rise to $34.8 Billion as Reforms Support Inflows

by Oluebube Elechi

ABUJA, Mar 3 – Nigeria’s net foreign exchange reserves rose to $34.8 billion at the end of 2025, up from $23.11 billion a year earlier, as policy changes and stronger inflows helped rebuild external buffers, according to the Central Bank of Nigeria.

Governor Olayemi Cardoso said the increase reflects improved confidence in the foreign exchange market following reforms introduced since 2023. Net reserves stood at $3.99 billion two years earlier, highlighting the scale of the recovery.

The figures were released shortly after the central bank reported gross reserves of $50.45 billion as of Feb 16. Cardoso said gross reserves closed 2025 at $45.71 billion, compared with $40.19 billion in the previous year.

The central bank attributed the gains to stronger foreign exchange inflows, tighter reserve management and clearer market rules. Authorities have moved to improve transparency and reduce distortions in the currency market, which had faced years of volatility and multiple exchange rates.

Cardoso said the current reserve position strengthens Nigeria’s ability to meet external obligations and support exchange rate stability. He added that the improvement signals progress in restoring credibility to the market and reinforces the impact of recent policy adjustments.

The reforms include changes to foreign exchange operations and efforts to improve liquidity in official markets. These steps have helped narrow gaps between exchange rates and attract more inflows from investors and exporters.

Looking ahead, the central bank said it will continue to maintain adequate reserve buffers and ensure orderly market conditions. Cardoso said the focus remains on sustaining stability while supporting broader economic recovery.

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