Nigeria’s external reserves have reached a 22-month high of $37.31bn, reflecting significant foreign inflows into the country’s economy.
Data from the Central Bank of Nigeria (CBN) revealed that as of September 18, 2024, the reserves hit the highest level since November 4, 2022, when they stood at $37.36bn.
This marks a notable recovery in Nigeria’s foreign currency position.
The external reserves represent the country’s stock of foreign currency. However, they have failed to make a real impact on the falling naira, which was adjudged one of the 10 worst-performing currencies in the world by Bloomberg on September 20.
The reserves serve as a crucial measure of the country’s ability to meet international financial obligations and stabilise the local currency.
On a year-to-date basis, the country’s reserves surged by 12.99 per cent, or $4.29bn, from the $33.02bn recorded at the start of the year on January 2, 2024.
