Forex Inflow Rises 13% to $109.9bn in 2025—CBN

Nigeria’s aggregate foreign exchange inflows rose by 13.81 per cent to $109.86 billion in 2025, driven largely by stronger autonomous inflows from non-oil exports and capital importation, according to the Central Bank of Nigeria (CBN) 2025 Annual Report.

The report showed that total forex inflows increased from $96.53 billion in 2024 to $109.86 billion in the review year, reflecting sustained improvement in autonomous foreign exchange earnings despite lower inflows through the apex bank.

According to the CBN report, the growth in inflows translated to a higher net foreign exchange inflow of $60.81 billion, compared with $58.16 billion recorded in 2024, even as aggregate forex outflows rose by 27.83 per cent to $49.05 billion from $38.37 billion.

The apex bank attributed the increase in aggregate inflows mainly to the strong performance of autonomous sources, which contributed 64.21 per cent of total foreign exchange receipts during the year.

The report stated that foreign exchange inflows through autonomous channels rose by 25.12 per cent to $70.54 billion in 2025, from $56.38 billion in the previous year.

It explained that the improvement was driven primarily by increased non-oil export receipts and over-the-counter (OTC) purchases, particularly capital importation, highlighting the growing contribution of private sector and market driven sources to Nigeria’s foreign exchange earnings.

In contrast, foreign exchange inflows through the CBN declined marginally by 2.08 per cent to $39.32 billion, accounting for 35.8 per cent of total inflows. The decline was attributed mainly to lower receipts from government debt and foreign exchange swap transactions.

On the outflow side, aggregate foreign exchange outflows increased to $49.05 billion, with the CBN accounting for 66.86 per cent of total outflows. Outflows through the Bank rose slightly by 1.74 per cent to $32.79 billion from $32.23 billion, while autonomous outflows surged by 164.84 per cent to $16.26 billion.

Despite the increase in outflows, autonomous sources generated a net inflow of $54.28 billion, higher than the $50.24 billion recorded in 2024, while the CBN recorded a net inflow of $6.52 billion. The report also showed that foreign exchange utilisation across the economy expanded significantly during the year as demand for imports and invisible transactions strengthened.

Aggregate forex utilisation increased by 59.36 per cent to $42.83 billion, compared with $26.88 billion in 2024. Of the total utilisation, $18.76 billion, representing 43.8 per cent, was allocated to visible imports, with the industrial sector accounting for the largest share at 42.11 per cent, followed by the oil sector at 25.91 per cent, manufactured products at 15.64 per cent, food products at 10.51 per cent, transport at 3.78 per cent, minerals at 1.04 per cent and agriculture at 1.00 per cent.

The CBN noted that foreign exchange utilisation for oil sector imports more than doubled, rising by 114.91 per cent to $4.86 billion, while utilisation for manufactured products increased by 61.70 per cent to $2.93 billion.

Foreign exchange utilisation for invisible transactions also rose sharply by 113.83 per cent to $24.07 billion, accounting for 56.2 per cent of total utilisation, compared with $11.26 billion in 2024. Financial services dominated invisible imports, accounting for 92.12 per cent of the total after utilisation in the segment rose by 125.25 per cent to $22.18 billion.

The report further showed that Nigeria’s external reserves strengthened during the year, rising by 13.85 per cent to $45.75 billion at the end of December 2025 from the corresponding level in 2024. According to the CBN, the increase in reserves was driven largely by crude oil related taxes, third party receipts and foreign exchange purchases.

It added that the reserve position remained adequate, providing 8.77 months of import cover for goods and services and 13.33 months for goods only, both significantly above the international benchmark of three months.

The report also indicated that the ratio of external reserves to broad money supply (M3) stood at 54.31 per cent, exceeding the international benchmark of 20 per cent, while the Greenspan Guidotti ratio of reserves to short term external liabilities was 103.81 per cent, above the 100 per cent benchmark, underscoring the country’s improved external liquidity position.