Nigeria has recorded increases in external reserves, peaking at $34.82 billion at the end of March, 2021.
The Central Bank of Nigeria (CBN) in its website, represented an increase by 1.2 per cent, compared with the $34.417 billion it was as of March 18, 2021.
The uptick was primarily due to a rise in the benchmark Brent crude oil price, which has remained around $60 per barrel.
This is about $20 per barrel above the $40 per barrel which the federal government’s 2021 budget is predicated on.
Following rising oil prices in 2021, forex reserves are expected to rise to an average of around $42 billion in 2021.
Speaking at the last Monetary Policy Committee meeting, CBN Governor, Mr. Godwin Emefiele, stated that contrary to reports, Nigeria has not altered its forex management policy.
.“Nigeria still remains on a managed float. What does a managed float regime mean?
That the CBN, being the institution that has a core mandate for forex management in the country, we will run the market, see how the market operates, depending on its reading of how the exchange rate moves in the market, we will come from time to time to intervene in the foreign exchange market.
