(Ecofin Agency) - Data from the Central Bank of Nigeria on Friday revealed that foreign exchange reserves as of February 15th, 2017 reached $29 billion, the highest level in 19 months.

Nigeria's reserves have increased by 11.2% from the beginning of this year but still remains below the peak of $64 billion reached in August 2008. This rise, according to Reuters, is as a result of the recent increase in crude prices which accounts for majority of Nigeria’s foreign exchange incomes as well as stability in the Niger Delta region.

Nigeria’s external reserves have been projected by analysts in the financial sector, to rise to $30 billion by March 2017. While the analysts say the current rise in reserves will help increase investor confidence and ensure that Nigeria successfully issues $1 billion Eurobond by March, they still highlighted that the country’s current deficit in foreign reserves remains significant.

Anita Fatunji