Nigeria’s external reserves have risen to their highest level in six years, surpassing $42bn for the first time since September 2019.
Central Bank of Nigeria data show the reserves stood at $42.03bn on 19 September 2025, signalling a strong rebound from earlier lows this year and boosting confidence in foreign exchange stability.
This latest figure marks a 72-month peak, continuing the steady recovery seen since July, when reserves fell to their lowest point of the year. The $42.03bn level represents a $40m increase on the previous day’s $41.99bn and a significant gain from $41.42bn at the start of September.
Nigeria last recorded higher reserves on 26 September 2019, when they reached $42.05bn. Since then, the buffer has come under pressure from weaker oil prices, capital outflows, rising import demand, and sustained forex interventions.
Unlike earlier short-lived spikes, the present rally has shown unusual consistency, with reserves rising in every trading session so far in September—13 consecutive daily gains across 14 reporting days.
Between 1 and 19 September alone, Nigeria’s external reserves grew by $610.8m, or 1.47 per cent, averaging about $47m in daily accretion.
The second half of the month proved especially strong. From 15 to 19 September, reserves jumped by nearly $583m in just four business days, reflecting stronger foreign exchange inflows and reduced outflows. On 8 September, reserves stood at $41.57bn, but within 11 days they had climbed by $461.8m.
Compared with 29 August, when reserves were $41.31bn, the stock is now higher by $727.3m, equivalent to a 1.76 per cent rise.
On a year-to-date basis, reserves have expanded by $1.15bn, or 2.83 per cent, from $40.88bn at the close of 2024.
The latest upswing marks a sharp reversal from earlier in the year, when reserves fell to $37.18bn on 3 July—the lowest point in 2025—sparking concern over Nigeria’s capacity to defend the naira and meet external obligations. Since then, reserves have rebounded by $4.85bn, representing a 13.05 per cent recovery.
The current peak not only exceeds all previous levels this year but also restores market confidence in Nigeria’s external buffers, which remain vital for exchange rate stability, investor sentiment, and debt servicing.
The return of reserves above $42bn strengthens the CBN’s ability to stabilise the foreign exchange market. It also enhances Nigeria’s import cover—a key indicator tracked by investors, lenders, and international ratings agencies. Import cover measures how many months of imports a country can finance from its reserves, and higher levels typically translate to stronger external credibility.
