Nigeria’s Gold reserves hits $3.5bn, as SMDF delivers to CBN
Nigeria’s gold reserves have reached a record $3.5 billion following the delivery of additional responsibly sourced gold refined to London Bullion Market Association (LBMA) good delivery standards to the Central
Nigeria’s gold reserves have reached a record $3.5 billion following the delivery of additional responsibly sourced gold refined to London Bullion Market Association (LBMA) good delivery standards to the Central Bank of Nigeria (CBN) by the Solid Minerals Development Fund (SMDF).
The Executive Secretary of SMDF, Fatima Umaru Shinkafi, disclosed this at a one-day workshop titled “Strategies to Maximise the Economic Benefits of Minerals in Nigeria.”
Shinkafi, in a statement issued by the fund’s Head of Corporate Communications, Idowu Jokpeyibo, in Abuja, said the delivery validates the strength of the SMDF’s formalisation framework and supply-chain due diligence processes under the National Gold Purchase Programme (NGPP).
She noted that the initiative continues to demonstrate Nigeria’s capacity to responsibly harness its mineral resources for national economic benefit. She added that Nigeria launched the gold purchase programme ahead of Ghana’s bullion initiative and similar efforts in other countries, positioning the nation as a regional leader in responsible gold reserve management.
According to her, the gold was sourced locally and aggregated by the SMDF through the NGPP, which engages artisanal and small-scale miners within a responsible-sourcing framework aligned with the guidelines of the Organisation for Economic Co-operation and Development (OECD) and the London Principles of the World Gold Council.
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, said the monetary-grade gold was acquired using the naira, with pricing linked to LBMA benchmarks.
He explained that the structure preserves Nigeria’s foreign exchange while strengthening the country’s gold reserves.
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According to the governor, purchasing domestically refined gold without deploying foreign currency enhances reserve accretion and supports broader macroeconomic stability objectives, particularly amid heightened global economic uncertainty. He added that central banks globally are increasingly diversifying their reserves in response to geopolitical tensions and market volatility, with gold regaining prominence as a hedge against inflation and systemic risks.
Cardoso described the workshop as a demonstration of Nigeria’s shared commitment to the responsible and strategic management of its mineral resources, stressing the importance of diversification, prudent governance, and resilience in an evolving global economy.
In her remarks, the World Gold Council’s Director of Central Banks and Public Policy, Ms. Kurtuluş Taşkale Diamondopoulos commended the CBN and SMDF for implementing the Nigerian Gold Purchase Programme in line with the twelve London Principles for responsible artisanal and small-scale gold sourcing.
The workshop, convened by the CBN’s Corporate Secretariat and Reserve Management Departments, provided a platform for engagement with key stakeholders across the gold value chain, highlighting opportunities and challenges in the sector.
Launched in 2020, the National Gold Purchase Programme remains active, with the CBN consistently purchasing locally sourced and responsibly refined gold to build reserves, reduce reliance on foreign exchange, and strengthen Nigeria’s external reserve position.
