Nigeria’s foreign reserves have crossed the $55 billion mark, reaching their highest level in more than 18 years, according to Central Bank of Nigeria (CBN) Governor Olayemi Cardoso. The milestone was disclosed on Tuesday at a press briefing following the 307th meeting of the Monetary Policy Committee (MPC) in Abuja, highlighting continued efforts by the apex bank to rebuild the country’s external buffers.

Cardoso attributed the growth in Nigeria’s foreign reserves to consistency and discipline in the CBN’s approach to reserve management, while also pointing to contributions from Nigerians in the diaspora. He described the achievement as significant for the country, coming after years of fluctuations in its external reserves and pressure on the foreign exchange market.

The CBN governor also highlighted reforms in the foreign exchange market, noting that the gap between previously different exchange rates has narrowed. According to Cardoso, the former system of multiple exchange rates created unequal access to foreign exchange, with the rate available to individuals depending largely on their access and connections. He said the reforms were aimed at creating a more transparent market while reducing the cost of previous foreign exchange subsidies, which he estimated at about 2.2% of GDP.

Meanwhile, the MPC announced changes to the implementation of monetary policy, including a recalibration of the asymmetric corridor around the Monetary Policy Rate to +50/-300 basis points. Cardoso said the adjustment was an operational reset rather than a shift in the committee’s policy direction, designed to improve monetary policy transmission and support Nigeria’s transition towards an inflation-targeting framework. The committee also retained the Cash Reserve Requirement at 45% for Deposit Money Banks and 16% for Merchant Banks.

The latest reserve figure represents a notable increase from the $54.08 billion recorded on September 3, 2026, and is also above the approximately $51.04 billion reserve level the CBN had projected for the full year. With Nigeria’s foreign reserves now above $55 billion, the development marks a major milestone for the country’s external financial position, while the CBN continues to implement reforms across the foreign exchange and monetary policy landscape.

source: nairametrics