Nigeria’s External Reserves Climb to $49.58bn, Gain $1.22bn in May
Nigeria’s external reserves rose by $1.22 billion in May 2026 to close the month at $49.58 billion, underscoring improving foreign exchange inflows and growing confidence in the country’s economic reforms.
Data from the Central Bank of Nigeria (CBN) showed that gross external reserves increased from $48.36 billion at the end of April to $49.58 billion by May 29, representing a 2.5 per cent month-on-month growth.
The reserves maintained an upward trajectory throughout the month, rising steadily from $48.34 billion recorded on May 4. The figure crossed the $49 billion mark on May 25 before ending the month just short of the $50 billion threshold.
The latest increase strengthens Nigeria’s external buffer and enhances the country’s ability to meet international obligations, support exchange-rate stability, and cushion the economy against external shocks.
The development also marks a significant recovery from earlier pressure on the reserves. Between early April and early May, Nigeria’s external reserves had declined by about $855 million. However, renewed foreign exchange inflows and improving market conditions helped reverse the trend during the second half of May.
On a year-on-year basis, the reserve position has recorded substantial growth. Compared to $38.47 billion in May 2025, Nigeria has added more than $11 billion to its reserves over the past 12 months. The increase is even more pronounced when measured against the $32.7 billion recorded in May 2024.
CBN Governor Olayemi Cardoso had recently described the reserve level as a strong safeguard for the economy, noting that it provides adequate cover for more than nine months of imports while bolstering investor confidence.
The rise in reserves has coincided with improved stability in the foreign exchange market. Analysts attribute the trend to ongoing reforms in the FX sector, stronger capital inflows, and policy measures aimed at restoring confidence in the Nigerian economy.
With reserves now approaching the $50 billion milestone, attention is shifting to whether the country can sustain the momentum amid global economic uncertainties and fluctuations in international oil prices.
The sustained growth in external reserves is widely regarded as a positive signal for Africa’s largest economy, reflecting stronger external sector performance and a more resilient foreign exchange position.