Nigeria’s external reserves increase again, hit $2.35 billion in 18 days
Recent reforms implemented by the Central Bank of Nigeria to attract more dollar supply through International Money Transfer Operators (IMTOs) appeared to have propelled the increase.
Nigeria’s external reserves have increased yet again, reaching $37.05 billion as of July 18, 2024.
This is according to the Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, at a press briefing at the end of the 296th Monetary Policy Committee (MPC) meeting in Abuja on Tuesday.
The CBN boss noted that the external reserves rose from $34.70 billion as of the end of June 2024 to $37.05 billion, which is an increase of $2.35 billion in about 18 days.
The communique read by the CBN governor during the press briefing noted: “As of July 18, 2024, external reserves stood at US$37.05 billion, compared with US$34.70 billion as of June 2024. This represents eleven (11) months of import cover for goods and services.”
It was gathered that the foreign exchange (FX) reserves are at the highest level since January 26, 2023, when it was $37.07 billion. This means that the external reserves are currently at a 17-month high.
However, what the CBN website shows puts gross reserves at $35.93 billion as of July 18, 2024, and $36.01 billion as of July 19, 2024, less than what the CBN governor presented, as per nairametrics.
The Monetary Policy Committee (MPC) recently urged the CBN to focus on boosting the external reserves.
To ensure a steady flow of foreign exchange into the country, the CBN plans to double the diaspora remittance inflow this year.
It was earlier reported that the CBN disclosed a 39% increase in inflows through International Money Transfer Operators (IMTOs) for the first quarter of 2024 compared to the same period in 2023. This is according to data from the quarterly statistical bulletin of the CBN for the first quarter of 2024. The total inflow for the first quarter of 2024 amounted to $1.07 billion, marking a 39% increase from the $770.23 million recorded in the same period of 2023.
When comparing Q1 2024 to the last quarter of 2023, which saw total inflows of $965.82 million, there is an increase of about 11%.
Recent reforms implemented by the CBN aimed at attracting more dollar supply through IMTOs seemed to have triggered the increase.
Source: Nairametrics
