By Peter Omopo
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has attributed the significant increase in Nigeria’s foreign reserves over the past two years to policy reforms and improved foreign exchange management.
Cardoso disclosed that the country’s net foreign reserves rose from $3.99 billion at the end of 2023 to $34.80 billion at the end of 2025, representing an increase of about 772 per cent.
He explained that foreign reserves, which are held in foreign currencies such as the US dollar, are used to finance imports, meet international financial obligations and stabilise the national currency during economic shocks.
According to the CBN governor, the sharp rise in reserves provides Nigeria with a stronger financial buffer to support the economy when necessary. He noted that the net reserves recorded at the end of 2025 exceeded the total gross reserves of $33.22 billion recorded at the end of 2023.
Cardoso had earlier announced after the Monetary Policy Committee meeting on February 24, 2026, that Nigeria’s gross external reserves stood at $50.45 billion as of February 16, 2026.
In a statement issued in Abuja, he said the improvement in both gross and net reserves reflects stronger external sector fundamentals and the positive impact of reforms introduced by the apex bank.
He stated that enhanced transparency and credibility in the management of the foreign exchange market had boosted investor confidence and attracted increased foreign exchange inflows.
Cardoso added that improved reserve management practices have focused on preserving capital, ensuring liquidity and promoting long-term sustainability.
Providing a breakdown, he said net reserves increased from $23.11 billion at the end of 2024 to $34.80 billion at the end of 2025. Within the same period, gross reserves rose from $40.19 billion to $45.71 billion, marking a $5.52 billion increase in one year.
He said the stronger reserve position would help Nigeria meet its international financial obligations, manage economic shocks more effectively, stabilise the foreign exchange market and sustain economic growth.
The CBN governor affirmed that the bank would continue to pursue policies aimed at maintaining strong reserves and ensuring stability in the foreign exchange market.
