Nigeria's FX Reserves Surge to $42Bn, Boosting Naira Exchange Rate

Nigeria's foreign exchange reserves hit $42 billion, the highest since 2019, leading to a new Naira to Dollar exchange rate improvement. The Central Bank of Nigeria's interventions have successfully stabilized the exchange rate, with the Naira closing at 1 to the Dollar on Monday, September 22.

The CBN injected $150 million into the market to meet demand pressures, coinciding with the surge in reserves. The latest figures show a remarkable turnaround from July's low reserves of $25 billion.

This recovery is supported by higher oil inflows, steady remittances, and portfolio investments, giving the CBN the ability to defend the Naira effectively.