The Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, announced that the country’s foreign reserves have risen by 12.74%, reaching $39.12 billion as of October 11, 2024. Cardoso made this disclosure during a meeting with the House of Representatives Committee on Banking Regulation.
He explained that the reserves, which stood at $34.70 billion in June 2024, grew significantly due to increased remittance flows, now accounting for 9.4% of total external reserves. “The reserves rose by 12.74% from $34.70 billion at the end of June 2024 to $39.12 billion as of October 11,” Cardoso stated.
He also noted that the current reserves can finance over 12 months of imports of goods and services, or 15 months of goods alone. “This is substantially higher than the prescribed international benchmark of 30 months, reflecting a robust buffer against external shocks,” Cardoso added.
In discussing foreign exchange reforms, Cardoso mentioned the unification of exchange rate windows into a single model, adopting a “willing buyer, willing seller” approach to improve foreign exchange liquidity and market stability. The CBN also removed the cap on quotes by international money transfer operators (IMTOs), among other measures aimed at enhancing transparency and reducing distortions in the FX market.
