Nigeria’s gross external reserves have increased by 7.9%, rising from $48.88 billion in January to $52.73 billion.
Central Bank of Nigeria (CBN) Governor Olayemi Cardoso revealed this while appearing before the Senate Committee on Banking, Insurance, and Other Financial Institutions.
Cardoso said the increase was driven by renewed confidence in the foreign exchange market and better coordination of government policies.
He also disclosed that net external reserves recorded a huge jump, climbing by more than 900% to over $40 billion from $3.99 billion in 2023.
According to Cardoso, the Banking Sector Recapitalisation Programme launched earlier this year remains one of the bank’s major achievements. By March, the programme had attracted ₦4.65 trillion in fresh capital, making it one of the biggest fundraising exercises in Nigeria’s history.
Chairman of the Senate Committee, Adetokunbo Abiru (APC, Lagos East), praised the CBN for helping to steady the naira and improve transparency in foreign exchange management. He, however, warned that bank recapitalisation must bring real economic gains.
“Recapitalisation should not become an end in itself. Ultimately, the true measure of a stronger banking system lies not merely in larger balance sheets, but in its capacity to mobilise savings efficiently and channel affordable credit to productive sectors of the economy,” Senator Abiru stated.
Abiru also raised concerns over reports showing that private sector credit has slowed despite the record amount of capital raised.
He urged the CBN to make sure key sectors such as agriculture, manufacturing, infrastructure, technology, and small and medium-sized enterprises receive the funding they need.
After the public presentations, the committee moved into an executive session to continue discussions with the CBN management team behind closed doors.
