The Central Bank of Nigeria (CBN) has reported a significant improvement in its Net Foreign Exchange Reserve (NFER) position, reaching $23.11 billion at the end of 2024. This is the highest level in over three years, marking a substantial increase from $3.99 billion in 2023, $8.19 billion in 2022, and $14.59 billion in 2021 .

The NFER, which adjusts gross reserves to account for near-term liabilities, is considered a more accurate indicator of the foreign exchange buffers available to meet immediate external obligations. Gross external reserves also increased to $40.19 billion, up from $33.22 billion at the close of 2023.

According to the CBN, the increase in reserves reflects a combination of strategic measures, including a reduction in short-term foreign exchange liabilities and policy actions to rebuild confidence in the FX market. Improved foreign exchange inflows, particularly from non-oil sources, have also contributed to the strengthening of reserves.

Governor of the Central Bank of Nigeria, Olayemi Cardoso, attributed the improvement in net reserves to deliberate policy choices aimed at rebuilding confidence, reducing vulnerabilities, and laying the foundation for long-term stability.