Nigeria’s foreign reserves rose to $34.14 billion as of Friday following a $2.75 billion loan borrowed from the World Bank.

This represents a 4.06% rise from the $32.74 billion recorded on June 3, 2024, according to data from the Central Bank of Nigeria (CBN).

The upward trajectory in the country’s reserves has been bolstered by recent loans secured from the World Bank.

In May, the Bureau of Public Enterprises announced that the Federal Government had obtained a $500 million loan from the World Bank to enhance the country’s electricity distribution sector.

Also, the World Bank has committed $2.25 billion in support to help stabilize Nigeria’s economy, bringing the total recent loan package to $2.75 billion.

The World Bank’s statement on the $2.25 billion package highlighted its dual focus on providing immediate financial and technical assistance for economic stabilization and enhancing support for the nation’s poorest and most vulnerable populations.

This financial injection is expected to support ongoing efforts to increase non-oil revenues and safeguard oil revenues, thereby promoting fiscal sustainability and enabling the provision of quality public services.

This infusion of funds has led to an increase of over $1 billion in Nigeria’s reserves within a month.

Last year, Nigeria faced a severe dollar shortage, prompting the CBN to float the naira to attract more foreign exchange inflow.

Despite these measures, the naira has depreciated significantly, losing over 300% of its value in one year and trading at 1,514.31/$ at the Nigerian Autonomous Foreign Exchange market on Friday.

A Bloomberg report recently ranked the naira as the worst-performing currency globally for the first half of 2024, attributing the decline to devaluation, insufficient dollar liquidity, and market volatility.

The Egyptian pound and Ghanaian cedi were also listed among the worst performers.

Despite these challenges, CBN Governor Olayemi Cardoso expressed cautious optimism, noting that the central bank is “relatively pleased” with the progress in stabilizing the naira.

Cardoso indicated that the worst of the currency’s volatility might be over.

In an effort to further stabilize the naira and improve dollar supply, the CBN has implemented several measures.

Last week, the central bank announced that International Money Transfer Operators (IMTOs) could access the official window to sell foreign exchange, thereby enhancing naira liquidity for timely settlement of diaspora remittances.

Also, the CBN resumed dollar sales to bureau de change operators in February, allocating $20,000 to each eligible operator to boost liquidity in the retail forex market.

The CBN’s efforts, combined with the World Bank’s financial support, aim to address Nigeria’s economic challenges and set the stage for more sustainable growth.

In a significant move to combat food shortages in the region, Tanzania has agreed to supply 650,000 tons of corn to neighboring Zambia.

The agreement signed on Saturday in Dar es Salaam between Tanzania’s National Food Reserve Agency (NFRA) and Zambia’s counterpart, comes as Zambia grapples with a severe dry spell induced by El Niño.

Tanzania’s Agriculture Minister, Hussein Bashe, announced the deal, stating that the NFRA would deliver the maize over the next eight months.

This agreement forms part of Tanzania’s broader strategy to export 1 million tons of corn this year to assist neighboring countries facing staple food shortages.

“Our country has produced 8.1 million tons of corn this season, surpassing our national demand of less than 6 million tons,” Bashe said, highlighting Tanzania’s capability to support its neighbors. “This agreement with Zambia reflects our commitment to regional solidarity and food security.”

Zambia has been particularly hard-hit by the El Niño phenomenon, which has caused widespread drought and led to significant crop failures.

In February, Zambian President Hakainde Hichilema declared the drought a national disaster and appealed for international aid in April.

Secretary to the Treasury Felix Nkulukusa reported that Zambia has received commitments totaling about $500 million from international partners but still requires an additional $400 million to fully address the crisis.

The Tanzanian corn will play a crucial role in alleviating the food shortage in Zambia, ensuring that the nation can sustain its population through the ongoing drought.

The export agreement also underscores Tanzania’s strategic use of its agricultural surplus to foster regional stability and support.

This development marks a pivotal moment in East African agricultural trade, demonstrating how regional cooperation can effectively address crises exacerbated by climate change.

As Tanzania steps up to aid its neighbor, the move is expected to strengthen bilateral ties and enhance collective resilience against future environmental challenges.

President Bola Tinubu has issued an executive order exempting pharmaceutical inputs from import taxes.

This strategic decision is part of a broader effort to enhance the competitiveness of local manufacturers of healthcare products, including essential items such as needles and syringes.

Health Minister Muhammad Ali Pate, speaking about the new policy, emphasized that the tax exemption is designed to lower production costs for domestic pharmaceutical companies.

By reducing the financial burden on these manufacturers, the government aims to foster a more robust and self-sufficient local industry capable of meeting the country’s healthcare needs more effectively.

“The removal of import taxes on pharmaceutical inputs is a significant step towards strengthening our local production capacity,” Pate said. “It will not only make Nigerian-made healthcare products more competitive but also ensure a steady supply of essential medical items.”

This tax reform is one of several measures implemented by Tinubu’s administration to stimulate economic growth and diversification.

The president’s broader economic overhaul has already attracted substantial international support. Notably, Nigeria recently secured $2.25 billion in funding from the World Bank.

This financial backing is expected to support ongoing reforms aimed at boosting non-oil revenues and stabilizing the economy.

President Tinubu’s administration has prioritized creating a more conducive environment for local industries to thrive.

By removing import taxes on critical inputs for the pharmaceutical sector, the government seeks to reduce reliance on foreign imports and stimulate domestic production, ultimately leading to job creation and economic stability.

The executive order has been met with approval from various stakeholders in the healthcare and manufacturing sectors.

Many industry experts believe that this policy shift will encourage more investment in the local pharmaceutical industry, fostering innovation and improving the overall quality of healthcare products available in Nigeria.

In addition to the tax exemption on pharmaceutical inputs, the Tinubu administration has been implementing various reforms to attract foreign investment and improve the business climate in Nigeria.

These reforms include efforts to streamline regulatory processes, enhance infrastructure, and provide financial incentives for local and international investors.

As Nigeria continues to navigate economic challenges, President Tinubu’s proactive measures signal a commitment to fostering a resilient and diversified economy.

The exemption of pharmaceutical inputs from import taxes is a crucial step towards achieving this goal, ensuring that Nigeria’s healthcare industry can meet the demands of its growing population while reducing dependence on imported medical supplies.