How Foreign Reserve rose To $31.89bn Under Buhari - CBN Gov

As a result of tight fiscal policy anchored on blocking of leakages,
Nigeria’s foreign reserves has risen from $29.1 billion left by the
immediate past government to $31.89 billion presently.

Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele made
this disclosure yesterday while briefing the Senate leadership on the
state of the nation’s economy and actions being taken by CBN to
boost it.
Emefiele, at the briefing explained that though the crash in the price of
crude oil in the international market since last year still has serious
rippling effect on Nigeria’s economy, being a mono-product one over
the years, signs of recovery are already emerging, one of which is the
rise in the nation’s foreign reserves from $29.1billion to $31.89billion
within a space of five weeks.
He said: “Reflecting the sharp fall in oil prices and speculative foreign
exchange activities, the external reserve declined from $37.3 billion in
June 2014 to $29.1 billion at the end of June of 2015.
“But today, I am delighted to note that with the strong efforts of
President Muhammadu Buhari, to block all leakages as well as the
vigilant demand management strategy of the CBN, we have seen our
foreign exchange reserve begin a gradual recovery.
“As at the 7th of July, 2015, the reserve stood at $31.89 billion, a
trend we find extremely gratifying”.
He explained further that the CBN took a number of proactive actions
to stem the tide of downward trend of the economy in the heat of the
crash of oil price, which according to him, have helped a lot in
stabilising the economy now.
But the senate leadership at closed door session with the CBN
governor and other management staff, directed them to liaise with the
Customs towards recovery of the N30billion waiver granted importers
of rice, chicken and palm oil by the Jonathan administration.
Senate President, Bukola Saraki who stated this, said the money must
be recovered from those who wrongly benefitted from a waiver that
was in the first place, not needed , by glaringly contradicting
government policy of import substitution.
He said: “The governor, we thank you for the briefing. As you said, it
is our belief, particularly that the recent policy you have taken on
some selected items, particularly key ones that has to do with
agricultural products like rice, chicken, palm oil, and even in the areas
of textiles.

Source : Leadership