Connect with us

Business

Nigeria’s external reserves grow by 1.59% in August

Published

on

Nigeria recorded a monthly gain in its external reserves in August amid news that the countey would be expecting $3.5 billion from the International Monetary fund special drawing rights.

According to data obtained from the Central Bank of Nigeria, Nigeria’s external reserves which opened the month of August at $33.48 billion hit $34.01 billion on August 31, 2021.

The change during the month represents a growth of $533.5 million or 1.59 percent boost in the country’s foreign reserve.

However, the year-to-date change is $1.36 billion a loss when compared to the $35.37 billion in external reserves as of December 31, 2020.

READ ALSO: Nigerian govt lost N126bn oil & gas revenue in Q1 –Ahmed

Meanwhile, with recent reports of Nigeria getting $3.35 billion as its share of the International Monetary Fund (IMF) special drawing rights (SDRs) external reserves will move closer to $40 billion.

Managing Director, Financial Derivatives Company Limited, Mr. Bismarck Rewane in its August edition of the FDC Monthly Update, noted that the $3.35billion IMF SDR allocation to increase the external reserves level to about $37billion.

“We expect gross external reserves to grow to over $37 billion upon receipt of the IMF’s SDR credit of $3.35 billion, which is due on August 23. This would increase the CBN’s ability to maintain the currency and lead to greater convergence of the exchange rate around the Investors & Exporter window,” he had said.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

If you are motivated and passionate about building a global society, founded on justice, equity, fairness, transparency, accountability and superior knowledge, kindly consider donating to Ripples Nigeria’s solutions journalism.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now

Investigations