By Adedapo Adesanya

Nigeria’s net foreign exchange reserves rose 50.6 per cent to $34.80 billion at the end of 2025, marking a sharp improvement in the country’s external liquidity position.

Net foreign exchange reserves refer to a country’s readily available external reserve assets after deducting short-term foreign liabilities. This is unlike gross foreign exchange reserves, which are the full stock of external reserve assets held by a country’s central bank, without subtracting any liabilities or commitments.

In a statement issued on Monday by the Central Bank of Nigeria (CBN), citing the Governor, Mr Yemi Cardoso, it was disclosed that net reserves increased from $23.11 billion at the end of 2024 to $34.80 billion at the close of 2025, representing a $11.69 billion rise within one year.

The figure also reflects a significant recovery from $3.99 billion at the end of 2023, signalling what the apex bank described as a marked improvement in reserve quality over a two-year period.

“The Governor of the Central Bank of Nigeria (CBN), Mr Olayemi Cardoso, has stated that Nigeria’s gross and net foreign reserves showed significant improvement at the end of 2025, reflecting stronger external sector fundamentals and sustained policy reforms.

“Following his disclosure at the post-Monetary Policy Committee (MPC) press briefing on Tuesday, February 24, 2026, where he said the country’s gross external reserves stood at $50.45 billion as of February 16, 2026, Mr. Cardoso, at the weekend, said the net foreign exchange reserves, as at the end of December 2025, rose to $34.80 billion,” the statement said.

Notably, the 2025 net reserve position exceeded Nigeria’s total gross external reserves recorded at the end of 2023, which stood at $33.22 billion.

This means that the country’s liquid and unencumbered foreign exchange buffers as of end-2025 were stronger than the entire headline gross reserve level just two years earlier.

According to Mr Cardoso, gross external reserves rose from $40.19 billion at end-2024 to $45.71 billion at end-2025, reflecting a $5.52 billion increase. As of February 16, 2026, gross reserves had climbed further to $50.45 billion.

He said the improvement in both gross and net reserves reflects stronger external sector fundamentals and sustained policy reforms.

The apex bank governor attributed the surge to improved transparency and credibility in foreign exchange management, which he said boosted investor confidence and attracted stronger FX inflows.

He added that enhanced reserve management practices were aimed at preserving capital, ensuring liquidity and supporting long-term sustainability.

According to him, the expansion highlights Nigeria’s improved capacity to meet external obligations, support exchange rate stability and reinforce overall macroeconomic resilience.

He described the end-2025 reserve position as validation of the Bank’s ongoing reforms and external sector adjustments, reaffirming the CBN’s commitment to maintaining adequate buffers and orderly foreign exchange market operations.

By Aduragbemi Omiyale

Selling price inflation reached its lowest level in over six years in February 2026, as the Purchasing Managers’ Index (PMI) settled at 53.2 points compared with 49.7 points in January, according to Stanbic IBTC Bank Nigeria, which takes the readings.

In the month under review, the Nigerian private sector returned to growth after a muted start to 2026, with a rise in new orders, triggered by an accelerated increase in business activity.

It was observed that the contraction in selling price inflation was influenced by an improvement in the strength of the currency.

“After the dip seen in January, the Nigerian private sector returned to growth, with the headline PMI settling higher at 53.2 points in February from 49.7 in January. This was in line with higher customer demand, which drove higher new product offerings at competitive pricing.

“Accordingly, output (55.8 vs January: 50.2) regained momentum in February while new orders (55.5 vs January: 49.9) also increased markedly in the month. Notably, the wholesale and retail sector, which had dipped in January, returned to growth, thereby ensuring that all four monitored sectors by the survey increased in February,” the Head of Equity Research West Africa at Stanbic IBTC Bank, Mr Muyiwa Oni, commented.

“Local currency appreciation helped to support softer input and output prices in February, as the Naira has been trading below N1,400 against the USD consistently since 29 January,” he added.

“Strengthening external account, higher offshore FX flows, and improvement in remittances continue to support higher FX supplies with the CBN also stepping in by buying USD in the FX market to moderate the pace of local currency appreciation,” he further stated.

Mr Oni projected that likely lower interest rates in line with lower inflation and exchange rate stabilisation should support private consumption and business investments in 2026.

“Because of these factors, we see more sectors contributing to real GDP growth rate in 2026 compared to 2025, likely translating to an improvement in the quality of lives of the citizens compared to the last two years when the citizens witnessed the full negative impact of the government’s flagship reforms,” he submitted.

By Modupe Gbadeyanka

African industrialist, Mr Aliko Dangote, is setting his eyes on steel production, electricity generation and port development to support large-scale manufacturing and trade.

He told The New York Times in a recent interview that his ambition is to accelerate industrialisation across Africa.

He currently has business interests in cement, sugar, salt, fertiliser, and petrochemicals, with his latest project being the $20 billion Dangote Petroleum Refinery and Petrochemicals in Lagos, which produces about 650,000 barrels of refined products daily.

The businessman said his long-term goal is to deepen the continent’s manufacturing base beyond oil refining and position it as a global industrial force.

“We have to industrialise Africa,” Mr Dangote said, noting that his next focus areas include the steel industry, expanding access to electricity and building additional port infrastructure to support large-scale manufacturing and trade.

Industry analysts say entry into steel would position the group in a sector critical to infrastructure, housing and heavy industry, while investments in power and ports could address two of Nigeria’s most persistent constraints to economic growth.

Mr Dangote cited India’s Tata Group as a model for diversified industrial expansion, describing the conglomerate’s multi-sector footprint as an example of how large-scale manufacturing can transform emerging economies.

Beyond expansion, Mr Dangote said job creation remains central to his strategy. With Nigeria projected to require between 40 and 50 million new jobs by 2030, he argued that large-scale industrial projects are essential to absorbing the country’s growing youth population.

The refinery alone currently employs about 30,000 workers, approximately 80 per cent of them Nigerians. Expansion across new sectors is expected to raise total employment within the group to about 65,000.

Mr Dangote also announced plans to list shares in the refinery on the Nigerian stock market, a move that would broaden local participation in the asset.

Despite progress, he acknowledged that infrastructure gaps and crude supply challenges remain obstacles. He has previously raised concerns about logistics bottlenecks and inefficiencies in the oil value chain that complicate feedstock supply to the refinery.

Nevertheless, he said the group would continue to invest aggressively in sectors that reduce import dependence and retain economic value within Africa.

“Nobody dared to do it, so we did it,” he said, reiterating his belief that large-scale private investment is key to transforming Nigeria’s industrial landscape.

With cement plants operating across multiple African countries and a refinery that has reshaped Nigeria’s downstream outlook, Mr Dangote’s next push into steel, electricity and port infrastructure signals a new phase in his ambition to industrialise the continent.