Nigeria’s net foreign reserves rise to $34.8 billion in 2025, reflecting stronger external buffers and enhanced foreign exchange management

Nigeria’s external liquidity position strengthened significantly at the close of 2025, with net foreign exchange reserves rising to $34.80 billion, highlighting growing resilience in the country’s external sector amid sustained monetary and FX reforms.

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Central Bank of Nigeria (CBN) Governor Olayemi Cardoso disclosed that net reserves increased from $23.11 billion at the end of 2024 to $34.80 billion by the end of 2025 an annual gain of $11.69 billion.

The increase marks one of the most notable reserve expansions in recent years.

Over a two-year horizon, the improvement is even more striking.

Net reserves, which stood at just $3.99 billion at the end of 2023, now reflect a dramatic surge, underscoring not only higher levels but also improved liquidity and quality of the reserves.

According to the CBN, gross external reserves also grew steadily, rising from $40.19 billion at the end of 2024 to $45.71 billion by the end of 2025, and reaching $50.45 billion by mid-February 2026.

Net reserves exclude short-term liabilities and other encumbrances, providing a clearer picture of Nigeria’s true external buffer.

“The expansion in both gross and net reserves validates the reforms and ongoing adjustments in the external sector,” Cardoso said, noting that enhanced transparency, credible FX management, and investor confidence have contributed to stronger inflows.

Analysts consider the end-2025 net reserve figure particularly significant, as it surpassed Nigeria’s total gross reserves at the end of 2023, which stood at $33.22 billion.

This demonstrates a meaningful improvement in the country’s ability to meet external obligations and maintain macroeconomic stability.

Cardoso emphasised that the robust reserve position enhances Nigeria’s capacity to support exchange rate stability, preserve liquidity, and withstand potential economic shocks.

He reaffirmed the CBN’s commitment to maintaining adequate buffers and ensuring orderly FX market operations.

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With both gross and net reserves trending upward, Nigeria’s external sector shows a strengthened foundation, boosting confidence among investors and policymakers while supporting long-term economic recovery.