The Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, has announced a historic surge in the country’s external buffers. Nigeria’s gross foreign reserves climbed to a robust $50.45 billion as of February 16, 2026, marking a pivotal moment in the nation’s quest for exchange rate stability and global investor confidence.
Speaking during the post-Monetary Policy Committee (MPC) briefing on Tuesday, February 24, 2026, Governor Cardoso detailed a transformative two-year trajectory that has seen the nation’s “net” reserve position undergo a fundamental overhaul.
A Remarkable Turnaround in Reserve Quality
The most striking revelation from the Governor’s report was the meteoric rise in net foreign exchange reserves—a metric that represents the actual liquid assets available to the central bank after accounting for foreign-denominated liabilities.
According to Cardoso, net reserves skyrocketed from a precarious **$3.99 billion at the end of 2023** to a staggering **$34.80 billion by the close of December 2025**.
“This represents more than just an increase in numbers; it is a fundamental improvement in the quality of our reserves,” Cardoso told journalists. “To put this in perspective, our net reserve position at the end of 2025 has now surpassed the total *gross* reserves we held at the end of 2023, which stood at $33.22 billion. This is a clear validation of the difficult but necessary reforms we have implemented.”
Steady Growth and Market Confidence
The Governor’s data highlighted a consistent upward trend over the last 24 months. Between December 2024 and December 2025, gross reserves grew from $40.19 billion to $45.71 billion, adding $5.52 billion in just one year. During that same period, net reserves jumped from $23.11 billion to $34.80 billion.
Cardoso attributed this sustained growth to the “enhanced transparency and credibility” of the CBN’s new foreign exchange management framework. By removing distortions and fostering a market-driven environment, the CBN has successfully incentivized foreign direct investment and boosted autonomous FX inflows.
“The improved reserve position underscores the benefits of our commitment to transparency,” Cardoso stated. “This has boosted investor confidence, attracted stronger FX inflows, and allowed us to implement reserve management practices focused on capital preservation, liquidity, and long-term sustainability.”
Strengthening the Naira’s Defense
The buildup in reserves provides the CBN with a significant “war chest” to defend the local currency and meet Nigeria’s international payment obligations. Economic analysts suggest that the $50.45 billion gross figure provides a comfortable import cover, well above international benchmarks, shielding the Nigerian economy from external shocks and global market volatility.
Cardoso noted that the current figures represent a “substantial strengthening” of Nigeria’s external buffers over the past three years. He emphasized that the focus is no longer just on the quantity of dollars, but on the “liquidity and resilience” of the external position.
Commitment to Reform
Looking ahead, the CBN Governor reaffirmed the bank’s dedication to maintaining the current momentum. He described the end-2025 position as a “strong validation” of the ongoing policy reforms and external sector adjustments.
“Our commitment remains unwavering,” the Governor concluded. “We will continue to maintain adequate reserve buffers to support orderly foreign exchange market operations. By strengthening confidence in Nigeria’s external position, we are ensuring macroeconomic stability in line with our statutory mandate.”
As the MPC concluded its first meeting of 2026, the mood was one of cautious optimism. With net reserves now comfortably in the tens of billions, the CBN appears better positioned than it has been in a decade to navigate the complexities of the global financial landsca
