The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has announced that Nigeria’s net foreign exchange reserves rose sharply to 34.80 billion dollars at the end of 2025, representing a 772 per cent increase from 3.99 billion dollars recorded at the end of 2023.
According to him, the development signals a significant strengthening in the country’s external buffers and reflects sustained reform efforts within the foreign exchange market.
Gross and Net Reserves Show Strong Improvement
In a press statement issued on Monday, the Central Bank of Nigeria stated that both gross and net reserves improved markedly, reflecting stronger external sector fundamentals and sustained policy reforms.
Gross reserves refer to the total stock of foreign assets held by the Central Bank of Nigeria, including foreign currencies, gold, and other external assets. Net reserves, however, exclude short-term liabilities and obligations, offering a clearer measure of funds readily available to defend the naira and meet external commitments.
Cardoso had earlier disclosed during the post-Monetary Policy Committee briefing on February 24, 2026, that Nigeria’s gross external reserves stood at 50.45 billion dollars as of February 16, 2026.
Providing further clarification over the weekend, he said the net foreign exchange reserves as of the end of December 2025 rose to 34.80 billion dollars.
“The Governor of the Central Bank of Nigeria, Mr Olayemi Cardoso, has stated that Nigeria’s gross and net foreign reserves showed significant improvement at the end of 2025, reflecting stronger external sector fundamentals and sustained policy reforms,” the statement read.
“Following his disclosure at the post-Monetary Policy Committee press briefing on Tuesday, February 24, 2026, where he said the country’s gross external reserves stood at 50.45 billion dollars as of February 16, 2026, Mr Cardoso, at the weekend, said the net foreign exchange reserves, as of the end of December 2025, rose to 34.80 billion dollars.”
Reserve Quality and Transparency Highlighted
Cardoso explained that the figures emphasised the benefits of increased transparency and credibility in foreign exchange management.
He said the reforms had boosted investor confidence, attracted stronger foreign exchange inflows, and improved reserve management practices aimed at preserving capital, ensuring liquidity, and supporting long-term sustainability.
The statement noted that net reserves increased sharply from 3.99 billion dollars at the end of 2023 to 34.80 billion dollars at the close of 2025, describing it as a fundamental improvement in reserve quality.
Notably, the 2025 net reserve position alone exceeded the total gross reserves recorded at the end of 2023, which stood at 33.22 billion dollars.
Cardoso further stated that net reserves rose from 23.11 billion dollars at the end of 2024 to 34.80 billion dollars at the end of 2025. Over the same period, gross external reserves increased to 45.71 billion dollars from 40.19 billion dollars, representing a rise of 5.52 billion dollars.
He said the expansion highlighted Nigeria’s enhanced capacity to meet external obligations, support exchange rate stability, and reinforce overall macroeconomic resilience.
Highest Gross Reserves in 13 Years
Earlier reports indicated that Nigeria’s gross external reserves reached their highest level in 13 years by mid-February 2026.
Speaking during the Monetary Policy Committee briefing in Abuja last week, Cardoso said the reserve build-up was supported by favourable trade developments, a healthy current account surplus, rising non-oil exports, and increased diaspora remittances.
He attributed much of the improvement to renewed market confidence.
“Underpinning all this, quite frankly, is market confidence. Without market confidence, no matter what you do, you will significantly sub-optimise,” Cardoso said.
He added that the Central Bank had engaged extensively with international investors, maintained policy consistency, and made commitments aimed at fostering positive market sentiment.
Commitment to Sustained Stability
Describing the end-2025 reserve position as strong validation of ongoing reforms and external sector adjustments, Cardoso reaffirmed the commitment of the Central Bank of Nigeria to maintaining adequate reserve buffers.
He stated that the apex bank would continue supporting orderly foreign exchange market operations, enhancing confidence in Nigeria’s external position, and sustaining macroeconomic stability in line with its statutory mandate.
Economic analysts say the continued growth of reserves will be closely monitored as a key indicator of the durability of recent monetary and foreign exchange reforms.
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