By Boluwatife Oshadiya | March 3, 2026
Key Points
- Nigeria’s net foreign reserves rose to $34.8 billion as of December 2025
- Gross external reserves stood at $50.45 billion as of February 16, 2026
- CBN says reserve growth reflects improved FX transparency and stronger external buffers
Main Story
Governor of the Central Bank of Nigeria, Olayemi Cardoso, says Nigeria’s net foreign exchange reserves climbed to $34.8 billion as of December 2025, marking a sharp increase from previous years and signalling strengthened external buffers.
Cardoso disclosed the figures at the conclusion of the latest Monetary Policy Committee (MPC) meeting held February 24 in Abuja.
According to the CBN governor, net reserves increased from $3.99 billion at the end of 2023 to $34.8 billion at the close of 2025. He described the improvement as a fundamental shift in the quality of Nigeria’s reserve position, rather than merely a headline expansion in gross balances.
The governor added that Nigeria’s gross external reserves stood at $50.45 billion as of February 16, 2026. He noted that the end-2025 net reserve figure exceeded the total gross reserves recorded at the end of 2023, which stood at $33.22 billion.
Net reserves also rose from $23.11 billion at the end of 2024 to $34.8 billion at the end of 2025, while gross external reserves increased to $45.71 billion from $40.19 billion within the same period.
Cardoso said the expansion underscores Nigeria’s enhanced capacity to meet external obligations and support exchange rate stability. He attributed the improvement to strengthened transparency and credibility in foreign exchange management, which he said boosted investor confidence and attracted stronger FX inflows.
“The improvement in our net reserve position reflects a fundamental strengthening of Nigeria’s external buffers and validates the ongoing reforms in the foreign exchange market,” Cardoso said at the MPC briefing.
He reaffirmed the apex bank’s commitment to maintaining adequate reserve buffers in line with its mandate to preserve macroeconomic stability.
What’s Being Said
Cardoso maintained that recent reforms in the FX market have improved policy credibility.
“Enhanced transparency in foreign exchange management has supported stronger inflows and improved overall reserve quality,” Olayemi Cardoso, Governor, Central Bank of Nigeria, said.
Market analysts say the improvement in net reserves provides policy space for the CBN as it navigates inflationary pressures and exchange rate volatility.
“A stronger net reserve position gives the central bank more flexibility in managing liquidity shocks and defending the currency if necessary,” said a Lagos-based financial analyst.
What’s Next
- The next MPC meeting is expected later in the second quarter of 2026, where reserve performance and inflation trends will again come under review
- Market participants will monitor subsequent FX inflow data to assess whether reserve growth momentum is sustained
- Investors are watching for further policy signals regarding exchange rate management and liquidity conditions
