Nigeria’s external reserves have increased by $7.09 billion since the beginning of 2026, reaching $52.66 billion as of August 19, according to data from the Central Bank of Nigeria (CBN).

The latest figure represents a 15.6 per cent increase from the $45.57 billion recorded on January 2, strengthening the country’s foreign exchange buffer and providing the monetary authorities with greater capacity to manage external shocks and support currency stability.

CBN data showed that the reserves experienced a temporary decline earlier in the year before beginning a sustained recovery.

Between April 1 and May 7, the reserves fell by about $855 million, from $49.18 billion to $48.33 billion, marking the lowest level recorded during the period.

The reserves subsequently rebounded, adding about $4.33 billion over the following three months.

The balance crossed the $50 billion threshold in early June and rose to $51.06 billion by June 19 before exceeding $52 billion in July.

From $51.94 billion on August 3, the reserves gained approximately $715 million in less than three weeks to reach $52.66 billion on August 19.

The increase has coincided with improved foreign exchange liquidity and relative strengthening of the naira.

The naira traded at about N1,346.90 to the dollar at the Nigerian Foreign Exchange Market as of August 21, according to recent market data.

Analysts have linked the rise in reserves to stronger foreign exchange inflows, including earnings from crude oil exports and increased investment flows.

Dr Jerry Igwilo, Chief Executive Officer of Nisela Capital Limited, attributed part of the improvement to higher crude oil prices, which he said had increased Nigeria’s dollar earnings from oil exports.

He said stronger foreign currency revenues had contributed to the accumulation of the country’s external reserves.

Dr Muda Yusuf, Chief Executive Officer of the Centre for the Promotion of Private Enterprise, also identified improved investor confidence, increased portfolio investment and stronger export performance as factors supporting the reserve buildup.

The increase has occurred alongside reforms in the foreign exchange market as the CBN continues efforts to improve transparency, deepen market operations and strengthen liquidity.

The stronger reserve position provides Nigeria with a larger cushion against external economic pressures and improves the country’s capacity to meet international financial obligations.

The development also gives the CBN additional room to intervene in the foreign exchange market when necessary and respond to external shocks.

Meanwhile, the CBN’s Monetary Policy Committee retained the Monetary Policy Rate at 26.5 per cent at its 306th meeting held in Abuja on July 20 and 21, 2026.

The committee also maintained the Cash Reserve Ratio at 45 per cent for commercial banks and 16 per cent for merchant banks.

The Standing Facilities Corridor was retained at +50/-450 basis points around the MPR, while the CRR on non-TSA public sector deposits remained at 75 per cent.