Home BANKING & FINANCE Nigeria’s External Reserves Rise From $42.8 Billion To $46 Billion, CBN Announces

Nigeria’s External Reserves Rise From $42.8 Billion To $46 Billion, CBN Announces

The Central Bank of Nigeria (CBN) has announced that the nation’s external reserves currently stand at $46 billion from $42.8 Billion in February this year.

According to figures obtained from the CBN at the weekend, indicate that the reserves grew by about $3.2 billion between February and March 2018. The reserves, at the beginning of 2018 stood at $39.3 billion then rose to $42.8 in February before hitting the new high of $46 billion as at the close of work on Friday, March 9.

Confirming the figures, the CBN Acting Director in the Corporate Communications Department, Isaac Okorafor, attributed the continued accretion to the country’s reserves to the Bank’s effort at vigorously discouraging unnecessary importation and reducing the nation’s import bill; inflow from oil and non-oil exports, as well as the huge inflows through the investors and exporters window of the foreign exchange market, which he said had attracted over $33 billion since April last year, when it was created.

At the close of commodities trading on Friday, March 9, Brent Crude sold at $65.49 a barrel, up by 2.54 per cent.

See also:  Flood Renders 30,000 Homeless In 35 Edo Communities

According to him, the Bank’s interventions in the foreign exchange window had also helped to moderate the pressure on the FOREX reserves by sustaining liquidity in the market and boosting production and trade.

Okorafor said that the CBN policy restricting access to FOREX from Nigeria’s foreign exchange market to importers of some 41 items had made a huge impact on the status of Nigeria’s reserves and boosted the supply of local substitutes for imported goods, created jobs at home and enhanced the incomes of farmers and local manufacturers.

Central Bank Governor, Godwin Emefiele, at the Annual Bankers’ Dinner of the Chartered Institute of Bankers of Nigeria (CIBN) held in Lagos in November 2017, had projected that Nigeria’s external reserves would hit the $40 billion mark in 2018. That conservative projection has since been surpassed. [myad]