Foreign exchange reserves no longer come from crude oil sales – Emefiele

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The Central Bank of Nigeria has stated that the country’s foreign exchange reserves are no longer derived from the sale of crude oil.

Governor Godwin Emefiele revealed this at the CIBN annual conference, outlining the drive for the policy to 2023.

Despite declining foreign reserves, Emefiele expressed optimism that the near-term outlook for the Nigerian economy remains strong.

Foreign exchange reserve income dropped from $3 billion per month to zero.

  • “The official foreign exchange receipt from crude oil sales into our official reserves has steadily dried up from over $3.0 billion a month in 2014 to absolute $0 today.” Emefiele said.

He stressed how important it is to increase non-oil revenue for the inflow of foreign currency into Nigeria. Emefiele insists there is a good reason behind CBN’s redesign of three different denominations of Nigerian banknotes.

The news continues after this announcement.




Inflation projection: Governor, Emefiele projects that the inflation rate will remain high and above the growth aid threshold of 12.5%.

  • “We will maintain our current tight monetary policy stance in the near term, especially in light of rising inflation expectations and currency market pressures.” Emefiele said.

He projected that the GDP growth rate will remain positive in the remaining quarter of 2022 and throughout 2023. Emefiele said that monetary policy will remain focused on the objectives of price, monetary and exchange rate stability.

The news continues after this announcement.


Credit to the private sector: The CBN Governor said that credit to the core private sector of the economy has more than doubled from N13.2 trillion at the end of 2018 to N27.7 trillion as of September 2022.

He assured that on January 16, 2023, the National Internal Card Scheme will begin.

Emefiele hinted at the major bank’s efforts to revive Nigeria’s healthcare and textile industries.

For the record: Most of the money used to finance Nigeria’s foreign reserves comes from exporting oil and gas to other nations. But increasing cases of crude oil theft have affected Nigeria’s ability to export and its foreign exchange reserves are falling as a result.

Nigeria’s external reserves fell to $37.17 billion as of November 15, 2022, CBN data confirms. This is the lowest level of foreign reserves this year and the lowest level since September 30, 2021 when the country faced a barrage of currency depreciation.

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