External Reserves Surge Driven By Policy Reforms, Refinery Exports, Investor Confidence –Economist
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Nigeria’s foreign reserves have witnessed a welcome increase, a development attributed to a combination of strategic economic policies and renewed investor confidence, according to Dr. Chukwunenye Kocha, a financial economist at Rivers State University and member of the Board of Economists on the National Economy.
Recall that LEADERSHIP reports that external reserves have surged to $41 billion, marking the highest level in four years and signalling a promising boost for the country’s economic stability and currency strength.
According to the latest data from the Central Bank of Nigeria, Nigeria’s foreign exchange reserves hit $41.046 billion as of August 20, 2025, the highest since December 2, 2021.
The reserves had since the ending of 2021 been on the decline as the apex bank dipped into it to support the naira, depleting it to nearly $31 billion last year, before it began a steady accretion on the various reforms of the CBN.
Dr. Kocha explained that several key factors have worked synergistically to strengthen the country’s reserves during turbulent economic times. Central among these are the government’s approach to reducing fuel subsidies, increased domestic refining capacity led by the Dangote refinery, and restoring confidence among foreign investors.v
External Reserves Surge Driven By Policy Reforms, Refinery Exports, Investor Confidence –Economist
