Nigeria’s foreign exchange (FX) market has recorded a remarkable 56.4% increase in monthly turnover, rising to $8.6 billion in 2025 from $5.5 billion in 2024, according to Mohammed Abdullahi, Deputy Governor for Economic Policy at the Central Bank of Nigeria (CBN).
The surge reflects the impact of sweeping monetary and fiscal reforms aimed at boosting liquidity, enhancing transparency, and strengthening investor confidence.
Speaking at the Nigeria Investors Forum held alongside the IMF/World Bank Annual Meetings, Abdullahi highlighted the government’s strategic efforts to improve FX inflows and clear longstanding obligations, saying that “monthly turnover in the forex market had risen by 56.4% to 8.6 billion dollars in 2025, up from 5.5 billion dollars in 2024”.
“Over the last two years, we have focused a lot on improving FX inflow into the economy, and we have seen a significant jump. Average net flows between January 2023 and July have doubled,” he said.
He noted that the CBN had adopted an order-based quotation system and implemented reforms around remittances to deepen market efficiency. As a result, Nigeria’s gross reserves reached a five-year high of $43.4 billion in October — enough to cover 11 months of imports.
“Between 2024 and 2025, we released almost $13 billion back to local and international banks in a way that allows for organic growth of our reserves,” Abdullahi added.
Rebuilding trust and investor confidence
Also speaking, CBN Governor Olayemi Cardoso assured foreign investors that Nigeria remains committed to stabilizing its financial system and fostering a more conducive investment climate.
“The CBN and the Ministry of Finance have been working hand in hand to ensure alignment, stability and clarity for investors,” Cardoso said.
He emphasized that the rise in external reserves signals improved resilience and reflects the steady rebuilding of trust in Nigeria’s economic model.
“Nigeria’s focus remains clear: strengthening our fundamentals, advancing reforms, and unlocking opportunities for sustainable investment and growth,” he stated.
Cardoso reiterated that the coordinated approach between fiscal and monetary authorities is positioning Nigeria as one of Africa’s most attractive destinations for long-term investment.
Government eyes 7% GDP growth
Sanyade Okoli, Special Adviser to the President on Finance and Economy, outlined Nigeria’s ambitious growth targets, projecting a 7% GDP increase between 2027 and 2028.
“Our target is 7% by 2027 to 2028. When the IMF increased its forecast for 2025, we were already projecting four per cent growth, rising to around five per cent next year,” she said.
Okoli noted that oil now accounts for just 4% of GDP in 2025, down from 8% in 2021, underscoring the country’s shift toward economic diversification. She highlighted that 13% of sectors grew above 7% in Q2, a key indicator of broad-based expansion.
The government is prioritizing public-private partnerships (PPPs) across infrastructure sectors to accelerate growth.
“On roads, the Highway Development and Management Initiative has identified over 10 routes for PPPs. On power, Nigeria is partnering with the World Bank and AfDB to mobilise about $32 billion to improve electricity access. On digital infrastructure, fibre-optic coverage expansion is ongoing to connect more young people,” Okoli explained.
More insight
Speaking at the G-24 press briefing on the sidelines of the IMF/World Bank Annual Meetings, Cardoso also disclosed that Nigeria’s trade surplus has risen to 6% of the nation’s Gross Domestic Product (GDP), noting that this is expected to remain at that level in the near future.
The CBN Governor attributed the improved balance of trade to sound macroeconomic policies that are beginning to yield positive results.
Cardoso, who stood in for the Finance Minister, Wale Edun, who is the first Vice Chair of the G24, noted that Nigeria had been shielded from the global uncertainties.
