CBN: Net FX Reserves Stood At $23.11bn In 2024, Highest In 3 Years

CBN: Net FX reserves stood at $23.11bn in 2024, highest in 3 years. The Central Bank of Nigeria (CBN) says Nigeria’s net foreign exchange (FX) reserves (NFER) stood at $23.11 billion in 2024, marking the highest level in three years.

Net international reserves are defined as the difference between reserve assets and reserve liabilities.

According to the CBN, NFER was $3.99 billion in 2023, $8.19 billion in 2022, and $14.59 billion in 2021.

The NFER, which adjusts gross reserves for near-term liabilities such as foreign exchange (FX) swaps and forward contracts, is considered a more accurate indicator of the country’s ability to meet immediate external obligations.

Additionally, gross external reserves rose to $40.19 billion at the end of last year, up from $33.22 billion at the end of 2023.

The CBN attributed the increase in reserves to strategic policy measures, including a substantial reduction in short-term FX liabilities, particularly swaps and forward obligations.

“The strengthening was also spurred by policy actions to rebuild confidence in the FX market and increase reserve buffers, along with recent improved foreign exchange inflows – particularly from non-oil sources,” the bank said.

“The result is a stronger and more transparent reserves position that better equips Nigeria to withstand external shocks.

“The expansion occurred even as the CBN continues to reduce short-term liabilities, thereby improving the overall quality of the reserve position.”

Olayemi Cardoso, CBN’s governor, described the progress as the result of deliberate policy choices aimed at stabilising the economy.

“This improvement in our net reserves is not accidental; it is the outcome of deliberate policy choices aimed at rebuilding confidence, reducing vulnerabilities, and laying the foundation for long-term stability,” Cardoso said.

“We remain focused on sustaining this progress through transparency, discipline, and market-driven reforms.” CBN noted that reserves have continued to strengthen in 2025.

The bank said while the first quarter figures reflected some seasonal and transitional adjustments, including significant interest payments on foreign-denominated debt, underlying fundamentals remain intact.

CBN

The regulator added that the reserves are expected to continue improving over the second quarter of this year.

“Going forward, the CBN anticipates a steady uptick in reserves, underpinned by improved oil production levels, and a more supporting export growth environment expected to boost non-oil FX earnings and diversify external inflows,” the bank said.

The CBN reaffirmed its commitment to prudent reserve management, transparent reporting, and macroeconomic policies that support a stable exchange rate, attract investment, and build long-term resilience.

Mali, Niger, Burkina Faso Foreign Ministers To Visit Russia, Efforts To Strengthen Ties

Mali, Niger, Burkina Faso foreign ministers to visit Russia, efforts to strengthen ties. The foreign ministers of Mali, Burkina Faso, and the Niger Republic will visit Moscow this week as part of efforts to strengthen ties with Russia.

A statement issued on Tuesday said the ministers would arrive in Moscow on April 3 and meet Sergei Lavrov, their Russian counterpart. The statement noted that the visit is at Lavrov’s behest.

The ministers are undertaking the visit under the aegis of the Alliance of Sahel States (AES), a breakaway bloc from the Economic Community of West African States (ECOWAS), formed in retaliation to the sanctions imposed by the regional body to reinforce democracy in the junta-led nations.

Last week, the AES imposed a 0.5 percent import levy on ECOWAS nations, disrupting free trade within the region and heightening tensions with the bloc.

The new group has also shunned traditional Western allies like France and the United States and turned towards Russia for military support.

“The Moscow meeting represents an important step in establishing strategic, pragmatic, dynamic, and supportive co-operation and partnership relations in areas of common interest between the AES and Russia,” the statement said.

The statement referred to this week’s visit as the first session of “AES-Russia consultations”.

Foreign Ministers To Visit Russia

Russia has been accused of playing a role in the overthrow of democracy in the French-speaking Sahelian countries through diplomatic backing and information operations.

The Moscow alleged role includes spreading anti-Western sentiment and promoting pro-Russian narratives through disinformation campaigns.

Earlier this year, Lavrov said Russia would establish additional embassies in Niger, Togo, Gambia, and Liberia by 2026.

Government Urges International Oil Companies To Raise Investments

Government urges international oil companies to raise investments. The minister said, “The ball is in the court of the IOCs and other operators to make strategic investment decisions.’’

The federal government has urged International Oil Companies (IOCs) in Nigeria to increase investments in the oil and gas sector, highlighting the country’s investment-friendly fiscal policies and incentivised investment opportunities.

Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, made the call at the Cross Industry Group (CIG) meeting held in Florence, Italy, organised by IOCs operating in Nigeria.

The meeting focused on challenges, expectations, and strategies to enhance the sector’s contributions to domestic energy needs and regional expansion across Sub-Saharan Africa.

Mr Lokpobiri, in a statement by his Special Adviser on Media and Communication, Nneamaka Okafor, emphasised that the President Bola Tinubu administration had provided necessary incentives to ensure seamless and profitable operations.

Speaking at the event, Mr Lokpobiri explained that while IOCs had identified engineering, procurement, and construction (EPC) contractors as a challenge, EPCs would only commit when they observed strong investment decisions from industry players.

“The government has done its part by providing the requisite and investment-friendly fiscal policies, including the President’s Executive Order incentivising deep water investments. Now, the ball is in the court of the IOCs and other operators to make strategic investment decisions that will drive increased production and sustainability in the sector,” the minister said.

He emphasised the need for IOCs to support local refining efforts, noting that more refineries were coming online and would require a steady supply of crude oil.

According to the minister, ramping up production would enable Nigeria to meet both local and international obligations.

In line with the federal government’s drive to boost production, Mr Lokpobiri reiterated that it would begin implementing the “drill or drop” provisions of the Petroleum Industry Act (PIA) where necessary.

He said, “We cannot continue to have assets sitting idle for 20 to 30 years without development. If you are not utilising an asset and it remains underdeveloped for decades, it neither adds value to your books.

“Nor does it add value to us as a country. We encourage industry players to explore collaborative measures such as shared resources for contiguous assets, farm-outs, and the release of underutilised assets to operators ready to invest in production. Otherwise, like any responsible government, we will take back these assets and allocate them to those willing to go to work.’’

International Oil Companies

The minister also urged operators to consider farm-out agreements for assets close to existing infrastructure rather than incurring high costs on new floating production storage and offloading (FPSO) units.

The Chairman of the Oil Producers Trade Section (OPTS), Osagie Osunbor, commended the minister on his direct engagement with industry players and for the federal government’s continued efforts in advancing the sector.

“We appreciate the government’s commitment to creating a conducive environment for investment. The minister’s engagement has provided critical insights and has also challenged us as industry players to step up efforts to increase production,” Mr Osunbor stated.

The federal government remains committed to ensuring a thriving oil and gas industry and expects operators to match its commitment by making tangible investment decisions that will drive growth, sustainability, and national energy security.