External Reserves Fall Below $40bn, Lowest In Three Months

The external reserves, according to the Central Bank of Nigeria (CBN), have fallen below the $40bn, making it the lowest point in over three months.

Recall, reserves dropped to $39.82bn on February 2, 2022, from $40.53bn as of December 30, 2021.

Prime Business Africa gathered that the country’s external reserves had jumped from $39.82bn on October 15, 2021, to a high of $41.83bn on October 29, on the back of Eurobond inflow and the International Monetary Fund’s Special Drawing Right.

According to CBN data, the country’s external reserves rose by $5.12bn last year from $35.37bn at the end of 2020.

The Governor, Central Bank of Nigeria, Godwin Emefiele, said: “Members also noted the continued improvement in the external reserves despite ongoing foreign exchange market pressures. The reserves stood at $40.2bn as at December 2021.”

Emefiele noted that the external reserves rose to over $41bn in October 2021, supported by demand management measures, Eurobond inflow of $4bn and the IMF’s SDR.