Nigeria net reserves 2025: CBN governor Cardoso says forex reserves hit $34.8bn
Nigeria’s net foreign exchange reserves reached $34.8 billion by the end of 2025, the Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), has revealed, underlining progress in the country’s efforts to stabilise its external financial buffers amid global economic uncertainty.
In a statement released on Tuesday in Abuja, Governor Cardoso said the increase in reserves marked an improvement from previous years and reflected the impact of policy interventions aimed at strengthening the naira, promoting foreign exchange inflows, and shoring up confidence in the domestic economy.
“Our gross external reserves stood at $34.8bn as at the end of December 2025,” Cardoso said, emphasising that this level of reserves provides a stronger cushion to support external payments, stabilise the foreign exchange market, and underpin economic planning for the country. Although Nigeria has faced persistent FX shortages and pressure on the naira, the rise in reserves shows an encouraging trend for the economy.
Foreign exchange reserves are crucial for financing imports, intervening in FX markets, settling external debt obligations, and absorbing shocks from global commodity price changes — especially in nations like Nigeria where oil export earnings are a major source of foreign currency.
The figure marks a notable increase compared with the reserves reported in previous years when Nigeria’s reserves had dipped to alarmingly low levels due to reduced oil earnings, tight global financial conditions, and limited inflows from foreign investors. Analysts say that while the new figure still falls short of historical peaks achieved in the early 2010s, it represents a stabilising trajectory after years of volatility.
Cardoso attributed the growth in reserves to a combination of factors. Among them are improved oil prices on the global market, stronger compliance with forex regulations, remittances from Nigerians abroad, and efforts by the CBN to diversify sources of foreign exchange inflow. He also highlighted the role of diaspora bonds and targeted reforms encouraging external portfolio investments.
“While we acknowledge the challenges that remain, the reserves position demonstrates that we are on a path to achieving greater stability,” he said. “We remain committed to policies that will protect external buffers and create an enabling environment for sustainable economic growth.”
Nigeria’s economy, which remains heavily dependent on oil exports, has been buffeted by swings in global energy prices, geopolitical tensions, and domestic structural constraints. The expansion of reserves to $34.8bn, therefore, suggests some resilience in external account management, allowing the central bank greater flexibility to cushion FX volatility and mitigate exchange rate pressures.
Economists have generally welcomed the rise in reserves but caution that deeper structural reforms are needed to ensure sustained growth and robust economic fundamentals. They argue that while higher reserves provide a short-term buffer, long-term economic resilience depends on diversifying Nigeria’s export base, strengthening non‑oil sectors, and improving revenue collection systems.
Nigeria’s foreign exchange reserves had faced sharp declines in previous years, dropping from over $40bn during periods of higher oil earnings to under $30bn at earlier points due to persistent trade deficits and FX demand pressures. The recent uptick to $34.8bn underscores a rebound in external buffers, with potential implications for investor confidence and policy planning.
Market analysts said the improved reserves position could help moderate volatility in the foreign exchange market, support import financing, and improve Nigeria’s external liquidity. “A stronger reserves buffer generally reassures investors and traders that the central bank can intervene effectively when necessary,” one FX strategist said. However, he added that continued fiscal discipline and structural economic diversification remain critical.
Remittances from Nigerians in the diaspora — a key source of FX inflow — have also contributed to the reserves build‑up. Recent data from the National Bureau of Statistics (NBS) showed that remittance inflows remained robust in 2025, helping to supplement official reserve accumulation.
Despite the positive trend, some economists point out that Nigeria’s reserves, when measured in months of import cover, are still modest by global standards. They emphasise that while the $34.8bn figure is encouraging, it must be sustained and built upon through enhanced economic productivity and investment diversification.
Governor Cardoso’s announcement has been welcomed by Nigerian financial markets, with analysts noting that a stronger reserve position could reduce panic in FX markets and improve macroeconomic stability. It comes at a time when Nigeria is pursuing broader reforms aimed at stabilising the naira and boosting investor confidence.
As policymakers and economic stakeholders consider the country’s external position, the Nigeria net reserves 2025 figure of $34.8bn will serve as an important benchmark for evaluating economic policy effectiveness and resilience in the face of global shocks. The CBN has reiterated its commitment to transparent reporting and proactive reserve management as part of its broader mandate to support economic stability and growth.
Looking ahead, continued improvements in export earnings, remittances, and foreign investment flows will be key to further strengthening Nigeria’s external reserves and ensuring that the country is better positioned to absorb future economic shocks.
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