Nigeria’s External Reserves Hit 13-Year High at $50.45 Billion

Nigeria’s foreign reserve position has quietly climbed to a level not seen in over a decade.

According to a March 3 announcement from the Central Bank of Nigeria (CBN), the country’s gross external reserves reached $50.45 billion as of February 16, 2026. That is the highest level recorded in 13 years.

For a country that has spent much of the last decade battling currency pressure and foreign exchange shortages, the number carries weight. External reserves act as a financial buffer. They help a country pay for imports, service external debt, and intervene in currency markets when necessary.

Right now, Nigeria’s reserve stock is estimated to cover 9.68 months of imports of goods and services. In practical terms, that means the country could theoretically sustain nearly ten months of import demand even if new foreign inflows slowed.

The improvement is also visible in the net reserve position.

Data from the central bank show that net foreign exchange reserves rose to $34.80 billion by December 2025, compared with $23.11 billion in December 2024. Over the course of 2025 alone, gross reserves increased from $40.19 billion to $45.71 billion before climbing further into 2026.

CBN Governor Olayemi Cardoso said the buildup strengthens Nigeria’s ability to meet its external obligations and provides more room to stabilise the foreign exchange market if necessary.

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The reserve increase is happening against the backdrop of major economic reforms introduced by President Bola Ahmed Tinubu’s administration.

One of the most consequential changes was the liberalisation of Nigeria’s exchange rate regime in 2023, which allowed the currency to trade more freely in the market. The shift triggered a sharp depreciation of the naira, as long-standing demand for foreign currency resurfaced once multiple exchange windows were unified.

Despite that structural weakness, recent data suggest a period of temporary stabilisation.

Figures from XE Converter indicate that the naira strengthened modestly over the past year. Between March 2025 and March 2026, the currency moved from roughly ₦1,499.38 per dollar to ₦1,359.34 per dollar.

Inflation has also started to cool.

Nigeria’s consumer price inflation slowed to 15.10% in January 2026, the lowest level since the surge that peaked at 34.19% in June 2024. The earlier spike had been driven by currency depreciation, fuel subsidy removal, and rising food prices.

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Governor Cardoso said the current indicators suggest that the monetary and exchange-rate adjustments are beginning to take effect. He added that the central bank will continue to maintain “adequate buffers” in the reserves, support orderly foreign exchange market operations, and focus on broader macroeconomic stability.

For now, the numbers show a rare moment of breathing room for Africa’s largest economy. Whether the trend holds will depend on continued foreign inflows, oil export performance, and the stability of the currency market in the months ahead.