Foreign exchange reserves have risen to more than 29-month high of $41.12bn by September 26, and were up by 7.16 per cent month-on-month, latest figures by the Central Bank of Nigeria have shown.

The figures revealed that forex reserves had not been as high as $41.12bn since April 19, 2010, when they stood at $41.16bn.The reserves are up from $38.37bn on August 27 and from $34.39bn a year ago.

Reserves had risen to a 25-month high of $38.62bn by August 29, driven by rising crude exports.

The Nigerian National Petroleum Corporation had said about 85 per cent of increase in reserves was from crude oil.

Nigeria’s crude oil production hit a record high of 2.7 million barrels per day on August 1. Reserves had risen by 5.71 per cent month-on-month to $38.51bn at August 28, 2012, from $36.43bn recorded in July.

It showed that forex reserves rose to a two-year high of $38.51bn. Forex reserves had fallen by 1.4 per cent month-on-month to $36.40bn at July 25, from $36.93bn recorded a month earlier.The $53m decline,  was attributed by analysts  to falling oil prices and strong dollar demand.

It had plunged in the month of June, dropping by $1bn to $36.768bn on June 28, from $37.768bn it stood on June 6, 2012.

The CBN had reportedly said that the nation’s external reserves had continued to grow since August 1, 2012. Consequently, the Minister of Finance and coordinating minister for the economy, Dr Ngozi Okonjo-Iweala, stressed the need for the country to shore up its external reserves. At a meeting with the Organised Private Sector in Lagos, Okonjo-Iweala said that there was the need to build up the reserves to $50bn before December. She said that this would help the country to stand on its feet in the event of any global economic recession.

Source: Punch/Ademola Alawiye