The Central Bank of Nigeria provided data showing a $3.43 billion decline in Nigeria’s foreign reserves in 2022. The CBN said that the external reserves, which were $40.52 billion as of the end of December 31, 2021, concluded December 29, 2022 at $37.09 billion.
“The committee observed the decline in the CBN external reserves position, as gross external reserves decreased by 1.34 percent at end-October 2022 to $36.87 billion, from $37.39 billion at end-September 2022,” said CBN Governor Godwin Emefiele at the most recent Monetary Policy Committee meeting in November.
Members requested the Bank to continue its existing policies to increase non-oil exports in order to strengthen the economy in light of signs of reduced crude oil prices in the futures market.
“A member of the MPC, Robert Asogwa, said, “The recent drop in external reserves is, however, linked to the decline in oil exports even at a time of higher oil prices.
“Interestingly, the publicised reduction in oil thefts across the Niger delta and the rising prospects of increased overseas remittances would likely boost the gross external reserves to a large extent in early 2023.”