Nigeria’s gross official reserves increased by $1.24bn in one month and $16.63bn over twelve (12) calendar months to $47.49bn in April 2018, news agency Voice of Nigeria reports.
As stated by FBNQuest in its Good Morning Nigeria yesterday, the rapid accumulation of US$16.63bn over 12 months is due to two successful Eurobond issues, the recovery in oil export revenues and, more recently, the steady bid by the CBN at the investors’ and exporters’ window.
Reserves at end-April covered 17.5 months’ merchandise imports, and 11.2 months when we add services on the basis of the 2017 balance of payments.
According to ARM Research Economic Update for April 2018, ‘activities at the Investors and Exporters Window (IEW) slowed in the month of April as overall inflow and outflow declined double-digits to $2.6 billion and $2.3 billion respectively, with net-supply moderating 60.2% MoM to $328 million compared to the adjusted $823 million recorded in March.’
Nigeria’s foreign reserves was at $38.77bn at the beginning of the year 2018, representing $8.72bn or 22% growth compared to the figure at the end of April 2018.