External reserves reach a 17‑year high of $50.12 billion, up 30.9% year‑over‑year.

• Investors commit N656bn to OMO bills

• High yields drive fixed income deals

Nume Ekeghe

Nigeria’s external reserves have risen to $50.12 billion, the highest level in more than 17 years, underscoring a marked improvement in the country’s external position over the past year.

According to the latest data, gross external reserves stood at $50.12 billion as of 5 June 2026, compared with $38.28 billion on 5 June 2025, a year‑on‑year increase of 30.9 percent.

This figure represents an addition of approximately $11.84 billion to the nation’s reserve stock within 12 months and is the first time reserves have crossed the $50 billion threshold since 26 January 2009, when they were $50.58 billion.

The development places Nigeria’s reserves at their strongest level in over 17 years, reflecting a remarkable recovery from recent years and strengthening the country’s foreign‑currency buffers.

Historical data show that although reserves remain below the all‑time high of $64.85 billion recorded on 8 August 2008, the latest position is the strongest since the aftermath of the global financial crisis. At the current level, reserves are approximately $14.73 billion below that record peak but substantially higher than levels recorded over much of the past decade.

The reserve build‑up has been particularly pronounced over the past year. From $38.28 billion on 5 June 2025, reserves climbed steadily to reach $50.12 billion by 5 June 2026, reflecting one of the strongest annual increases in recent years.

Over the past 12 months, Nigeria’s external reserves have followed a largely upward trajectory, rising from $37.21 billion on 30 June 2025 to $50.12 billion on 5 June 2026.

Reserves closed July 2025 at $39.36 billion, increased to $41.31 billion in August, and rose further to $42.35 billion by September. The upward trend continued through the final quarter of 2025, reaching $43.20 billion in October, $44.67 billion in November and $45.50 billion by 31 December 2025.

The build‑up accelerated in 2026, with reserves climbing to $46.28 billion at the end of January and surging to $49.69 billion by 27 February. Although reserves eased slightly to $49.24 billion at the end of March and $48.36 billion at the end of April, the decline proved temporary as holdings rebounded to $49.58 billion by 29 May before reaching a new multi‑year high of $50.12 billion on 5 June 2026.

Within the 12‑month period under review, the lowest reserves level was $37.18 billion on 3 July 2025, while the highest was the current $50.12 billion, representing an increase of about $12.94 billion between the low and high points.

Meanwhile, Open Market Operation (OMO) bills dominated activity in Nigeria’s fixed‑income secondary market yesterday, attracting N655.88 billion in transactions as investors continued to favour short‑term securities offering some of the highest yields in the market.

Data from the Fixed Income Dashboard showed that total turnover across fixed‑income instruments stood at N882.35 billion from 346 trades, with OMO bills accounting for nearly three‑quarters of the value traded during the session.

The OMO segment not only emerged as the market’s biggest contributor by value, but also recorded 127 trades involving 15 participants, underscoring sustained demand for the short‑dated instruments.

Treasury bills recorded turnover of N74.86 billion from 132 trades involving 23 participants, while Federal Government of Nigeria (FGN) bonds accounted for N121.61 billion across 81 transactions. Sukuk instruments recorded N30 billion from six deals.

Investor interest in the OMO market was concentrated in a handful of maturities. The 28 July 2026 OMO bill was the most actively traded instrument, recording N202.25 billion in transactions across 25 deals. This was followed by the 23 June 2026 OMO bill, which attracted N100 billion from 10 trades.

Other actively traded OMO instruments included the 13 October 2026 bill, which recorded N88.14 billion, and the 22 September 2026 bill with N87 billion in turnover.

Yields in the segment remained elevated. The 23 June 2026 and 28 July 2026 OMO bills closed at yields of 21.68 percent and 21.63 percent, respectively, while yields across the market ranged from 18.53 percent to 21.68 percent, depending on tenor.

In the Treasury bills market, activity was concentrated in medium‑dated instruments. The 24 September 2026 bill led trading with N16 billion across 32 deals, while the 3 June 2027 instrument recorded N13.16 billion from 22 transactions. The 10 December 2026 bill also attracted significant interest with N13 billion traded across 15 deals.

Treasury bill yields ranged between 16.02 percent and 19.48 percent. The 3 June 2027 bill closed at the highest yield of 19.48 percent, while the 9 July 2026 bill closed at 16.02 percent.

The bond market witnessed notable activity in longer‑dated securities. The 18 April 2037 FGN bond was the most traded bond, recording N44.6 billion across 13 deals. The 29 January 2035 bond followed with N37.54 billion from 18 trades, while the 17 April 2029 bond generated N22.57 billion from 21 transactions.

Bond yields remained relatively stable, with most securities closing within the 16.70 percent to 17.50 percent range.

Meanwhile, the Sukuk segment recorded N30 billion in turnover from six deals. The 2033 Sukuk closed at a yield of 14.80 percent.

The trading pattern suggests that investors remained focused on locking in attractive short‑term returns, with OMO bills attracting the bulk of market liquidity as yields in the segment continued to outpace those available in Treasury bills, bonds and Sukuk instruments.