The Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, says the country’s foreign reserves rose by 12.74 per cent to $39.12 billion as of October 11.
Mr Cardoso stated this in an interactive session before the House of Representatives Committee on Banking Regulation.
He noted that the nation’s foreign reserves stood at $34.70 billion at the end of June.
“The reserves rose by 12.74% to $39.12 billion as of October 11, 2024, from $34.70 billion at the end of June 2024,” he said.
Cardoso maintained that the reserves have “grown significantly” with remittance flows which currently represent 9.4 per cent of total external reserves.
He added, “In Q2 2024, we maintained a current account surplus and saw remarkable improvements in our trade balance.
He disclosed that “the current external reserves position can finance over 12 months of import of goods and services or 15 months of goods only.
The current figure according to him is substantially higher than the prescribed international benchmark of 30 months, reflecting a robust buffer against external shocks.
On the issue of Foreign Exchange volatility, He said “Regarding the foreign exchange market, the bank implemented various reforms including a unification strategy, which streamlined various exchange rate windows into a single model, adopting the willing buyer, willing Seller’ approach to enhance FX liquidity and financial market stability.
