FX Reforms, Diaspora Inflows Push Nigeria’s Reserves to $49 Billion

Nigeria’s external reserves have climbed to about $49 billion as of February 5, 2026, reflecting a sharp turnaround in the country’s financial position. Central Bank Governor Olayemi Cardoso said the figure represents a dramatic improvement from the roughly $3 billion net reserves recorded when the current administration assumed office.

The governor credited the growth to reforms in the foreign exchange market, particularly a market-driven framework where the Central Bank operates mainly as a net buyer. This approach, he noted, has helped reduce the gap between official and parallel market exchange rates to less than two percent.

Diaspora remittances have also played a key role in boosting reserves. Cardoso explained that closer engagement with Nigerians abroad and easier remittance channels have increased inflows. He added that foreign exchange reforms now allow broader access for citizens, including international use of naira cards and improved currency reliability across West Africa.

Beyond reserves, Cardoso noted progress in the banking sector through recapitalization efforts aimed at supporting long-term growth, including Nigeria’s $1 trillion economy ambition. He cited GDP growth of 3.98 percent and a $3.42 billion current account surplus in the third quarter of 2025, while cautioning against speculative holding of foreign currency amid current market trends.