# Nigeria’s Foreign Reserves Soar After $2.25 Billion Afreximbank Loan
Nigeria’s foreign reserves saw a remarkable 0.39% surge, equivalent to $0.13 billion, in 2024, attributed to the infusion of $2.25 billion from the African Import-Export Bank, Afreximbank.
The Central Bank of Nigeria’s data revealed a surge in foreign currency reserves to $33.042 billion as of January 3, 2024, compared to the previous $32.912 billion recorded just before.
The influx of funds is a result of Nigeria tapping into a portion of the $3.3 billion Afreximbank loan, subsequently bolstering the country’s reserves. Muda Yusuf, the CEO of the Centre for the Promotion of Private Enterprise (CPPE), had anticipated the positive impact of the Afreximbank loan in stabilizing the forex crisis.
Yusuf expressed, “This Afreximbank fund is going to help stabilize the market further. Once the CBN can clear the backlog substantially, subsequent inflows will now be used to intervene directly in the market after the backlog has been cleared.”
Despite a low dollar supply in the official foreign exchange market, the Naira experienced its first gain against the US dollar in 2024, as reported by Media Talk Africa.
This substantial increase in Nigeria’s foreign reserves following the Afreximbank loan signifies a pivotal turning point in the country’s economic landscape, holding promise for further stability and growth in the forex market and the broader economy.
