Nigeria's Forex Reserves Hit $43 Billion, Naira Strengthens Amid Reduced Speculations

Nigeria's foreign reserves hit $43 billion, leading to the closure of the forex gap due to reduced speculations. The naira's steady rally, trading at around N1,460 per dollar officially and N1,470 in the parallel market, is attributed to increased dollar inflow from foreign investors and oil companies.

CBN Governor Olayemi Cardoso's reforms, including the introduction of an electronic forex matching system, have improved transparency and reduced arbitrage. The market also saw a decline in speculation, narrowing the gap between official and parallel rates.

The recent surge in reserves provides a strong external buffer, with the naira's rebound dependent on disciplined fiscal management and higher oil output.