Nigeria's external reserves saw a significant decrease of approximately $731 million during the first three weeks of April 2026. This drawdown reflects ongoing pressure on the nation's foreign exchange buffers.
Data from the Central Bank of Nigeria (CBN) indicates that reserves fell from $49.18 billion on April 1 to $48.45 billion as of April 23. This represents an average weekly decline of about $233 million.
This recent movement continues a broader trend of reserve drawdowns, highlighting the challenges monetary authorities face in balancing exchange rate stability, liquidity management, and external commitments.
The sharpest decline occurred in the early part of April, with reserves dropping from $49.18 billion to $48.81 billion between April 1 and April 10. This period likely saw stronger foreign exchange interventions and the settlement of external obligations.
Between April 13 and April 17, reserves eased further from $48.72 billion to $48.62 billion, suggesting a slower pace of decline. From April 20 to April 23, reserves slipped marginally from $48.54 billion to $48.45 billion, indicating a relative moderation in outflows.
The April decline follows reserve pressure experienced in March, when reserves had decreased from above $50.08 billion on March 12 to $49.61 billion by March 23. Despite the recent trend, current reserve levels are considerably higher than the approximately $37.83 billion recorded in the same period in 2025.
In January 2026, reserves had shown an upward trend, rising by about $509 million within the first 22 days, signaling improved inflows at that time. This recent decline marks a reversal of that earlier positive movement.
Historically, significant drawdowns have occurred, such as the $1.1 billion drop in October 2018 within two weeks. These fluctuations are typically influenced by changes in oil revenue, foreign exchange interventions, and external obligations.
CBN Governor Olayemi Cardoso had previously stated that the recent decline in Nigeria’s external reserves should not be a cause for concern.
