Nigeria’s Foreign Reserves Hit $46.7 Billion — Highest in Nearly Seven Years, Says CBN Governor
Nigeria’s foreign reserves have climbed to $46.7 billion, marking the highest level in nearly seven years, the Central Bank of Nigeria (CBN) governor, Olayemi Cardoso, told the Senate Committee on Banking, Insurance, and Other Financial Institutions on Thursday. The reserves now provide approximately 10.3 months of import cover, signaling a significant improvement in the country’s external position.
Addressing lawmakers, Cardoso attributed the rise in reserves to renewed investor confidence and a more stable foreign exchange market. The gap between the official and parallel market exchange rates has narrowed drastically to under two percent from over 60 percent a year ago. The average exchange rate strengthened to N1,442.92 per dollar by November 26, down from N1,551.08 earlier in the year.
The CBN governor also highlighted the role of diaspora remittances, which have surged by 66.7 percent, increasing from $200 million monthly to about $600 million in recent months. He further noted the resolution of a $7 billion verified foreign exchange backlog, a move he said has restored credibility and confidence in Nigeria’s economy.
On the domestic front, Cardoso reported that inflation has fallen for seven consecutive months, reaching 16.05 percent in October, the lowest in three years, while food inflation dropped to 13.12 percent. Nigeria’s real gross domestic product (GDP) grew by 3.98 percent in the third quarter of 2025, driven by strong performances in crop production, ICT, real estate, and financial services.
Looking ahead, Cardoso expressed optimism for 2026, noting Nigeria’s position as one of Africa’s leading digital payments markets. The country’s fintech sector has produced eight of the continent’s nine unicorns, bolstering economic growth and innovation. Senate committee chairman Tokunbo Abiru commended the CBN’s policies, highlighting improved macroeconomic stability and favorable global ratings from Fitch and S&P.
source: The cable