Foreign Reserves Rise to Highest Level Since 2018 As Naira Appreciates
- Nigeria’s external reserves have increased to the highest level in years, now at over $43 billion
- The current level is the highest level since 2018, giving the CBN a stronger capacity to support the naira
- The naira has also appreciated to N1,436.74/$1 in the official market, reversing losses from the previous session
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Nigeria’s external reserves have surged to $43.30 billion as of November 5, 2025, their highest level since October 11, 2018, when they stood at $43.34 billion, according to new data from the Central Bank of Nigeria (CBN).
Source: Getty Images
The increase marks a big boost for milestone for Nigeria, giving the apex bank greater capacity to defend the naira amid ongoing exchange rate pressures.
The latest rise reflects sustained foreign exchange inflows and improved investor confidence following the government’s fiscal and monetary reforms.
Analysts believe the strengthened reserves position offers the CBN more room to stabilise the foreign exchange market and moderate volatility.
Naira rebounds in official market
The naira appreciated against the US dollar in the Nigerian Foreign Exchange Market (NFEM) on Thursday, November 6, reversing losses from the previous session.
The Nigerian currency gained N1.75 or 0.12% to close at N1,436.74 per dollar, compared with N1,438.49 in the preceding session.
However, the naira weakened against the pound sterling, dropping N8.78 to N1,882.56/£1, but improved against the euro, appreciating by N6.32 to N1,651.39/€1.
In the parallel market, the exchange rate remained steady at N1,450 per dollar, while GTBank’s FX rate for international transactions was unchanged at N1,446 per dollar.
Source: Getty Images
Eurobond oversubscription boosts naira
Market sentiment was further boosted after Nigeria’s recent $2.35 billion Eurobond issuance was oversubscribed by 477%, as investors responded positively to signals of moderating inflation, lower interest rates, and stronger fiscal reforms.
Financial analysts at AIICO Capital Limited said in a report that the robust reserves and Eurobond inflows would continue to support the local currency in the near term.
“We expect market stability to depend on global oil prices, continued CBN interventions, and overall investor sentiment particularly the Federal Government’s response to President Trump’s comments on attacks in Nigeria and his threats of possible military action or aid suspension,” the report stated.
“However, strong external reserves and expectations of sustained high crude oil prices we expected will provide additional support to the naira.”
CBN slashes customs duty rate
In a related development, Legit.ng reported that the Central Bank of Nigeria (CBN) has adjusted the customs duty exchange rate downward, reducing importation costs for businesses.
Data from Nigeria’s trade portal shows the new rate for clearing goods has been set at N1,470.53 per dollar.
The CBN stated that this rate will remain applicable until the completion and clearance of the importer’s transaction.
Source: Legit.ng
