Nigeria’s foreign exchange (forex) reserves jumped from $23 billion in October 2016, to $38.2 billion yesterday, a development that signals the country’s return to favourite international deals destinations and enhanced confidence.
The $3.4 billion boost is coming on the heels of a week’s trading that added only $455 million to the reserves, putting it at $34.8 billion, last week Thursday.
At $38.2 billion, it shows a more than three-year record high, starting from January 2014, when the reserves were estimated at $40 billion, before it started declining due to crude oil price volatility.
Meanwhile, the Central Bank of Nigeria (CBN) yesterday, inaugurated the Unilever’s ultra modern 10 million euros Margarine plant.
It assisted the company as part of the efforts to deepen the import substitution policy in the country.
The Governor of CBN, Godwin Emefiele, said with the project and many other manufacturing plants in the country, there are no less than $10 billion Foreign Direct Investments’ inflow since April this year.
Already, the forex market has reacted to the new status of the country’s reserves’ profile, as exchange rates across segments gained, with official window reversing Monday’s loss to N306.75 per dollar from N307 per dollar.