Nigeria’s $40bn Net Foreign Reserves Validate Tinubu’s Economic Reforms – TSF
Oru Leonard
The Tinubu Stakeholders Forum (TSF) has hailed the growth of Nigeria’s net foreign reserves from about $3 billion in 2023 to over $40 billion within three years, describing it as strong evidence that the economic reforms introduced by President Bola Ahmed Tinubu are restoring confidence in the nation’s economy and strengthening its long-term resilience.
In a statement signed by its Chairman, Ahmad Sajoh, and Secretary, Danjuma Sada, the Forum said the remarkable increase represents one of the most significant improvements in Nigeria’s external financial position in recent history.
According to TSF, the surge in net foreign reserves reflects the success of key economic reforms implemented since 2023, including the unification of the foreign exchange market, improved transparency in foreign exchange management, stronger coordination of monetary policies, and measures aimed at rebuilding investor confidence.
The Forum explained that unlike gross external reserves, which include liabilities and other obligations, net foreign reserves represent the foreign exchange resources that are readily available to support the economy.
It noted that the increase from about $3 billion to more than $40 billion has substantially strengthened Nigeria’s financial buffers, enhancing the country’s ability to meet external obligations, finance critical imports, withstand global economic shocks, and reduce dependence on costly short-term external borrowing.
TSF further stated that the stronger reserve position is helping to stabilise the naira and improve the efficiency of the foreign exchange market, thereby increasing the availability of foreign exchange for manufacturers, investors, and businesses that rely on imported machinery, industrial equipment, and raw materials.
The Forum added that improved exchange-rate stability enables businesses to plan more effectively, makes production costs more predictable, and helps moderate inflationary pressures linked to currency volatility.
According to the statement, Nigeria’s healthier external financial position also sends a positive signal to international investors, reinforcing confidence in the country’s economic management and contributing to improvements in foreign direct investment, portfolio inflows, and sovereign credit assessments.
TSF described the transformation of Nigeria’s net foreign reserves as more than a financial milestone, saying it reflects the growing credibility of the country’s economic management and the success of reforms centred on transparency, market confidence, and macroeconomic stability.
The Forum noted that President Tinubu took difficult but necessary decisions at a critical period for the economy, adding that the strengthening of Nigeria’s external reserves demonstrates that those reforms are now yielding measurable results.
TSF commended President Tinubu and the leadership of the Central Bank of Nigeria for sustaining the reform agenda despite initial challenges and urged the government to continue implementing policies that promote exports, expand domestic production, attract long-term investment, and preserve macroeconomic stability to consolidate the gains already recorded.
