Nigeria’s external reserves have reached $39.07 billion as of September 19, 2024, according to the Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso. This was announced during a press briefing following the 297th Monetary Policy Committee (MPC) meeting in Abuja.
Cardoso noted that the reserves have grown by 17.4% compared to $33.28 billion in the same period of 2023. This increase provides approximately eight months of import coverage for goods and services and 13 months for goods alone.
However, recent figures from the CBN website indicate that the actual reserve level is $37.39 billion, slightly below the figure presented by the governor.
Several factors have contributed to the increase in Nigeria’s foreign reserves, including a rise in diaspora remittances, support from international financial institutions, and a $925 million disbursement from the African Export-Import Bank as part of a crude oil-backed loan.
The CBN continues to implement policies to boost reserves, including plans to double diaspora remittance inflows this year. Efforts to stabilize Nigeria’s foreign exchange market, though showing progress in reserves, have yet to fully address the naira’s ongoing depreciation amidst high inflation and forex demand pressures.
Additionally, Nigeria’s first domestic dollar bond saw significant interest, with over $900 million in subscriptions, further supporting reserve growth.
Despite these positive trends, challenges remain as Nigeria grapples with external and internal fiscal imbalances, making the management of the forex market a priority for the CBN.
