Finance: Nigeria's foreign reserves dropped to $44.31 billion in September 2018

Isaac Okorafor, CBN spokesperson, said the drop in nation's reserves was as a result of the rise in the US interest rate.

Nigeriaâ€s foreign exchange reserves dipped by $1.32 billion to $44.31 billion in the month of September 2018, according to Central bank of Nigeria (CBN) data seen by Business Insider Sub-Saharan Africa.

This is coming as global crude oil price hit $85 per barrel amid growing sanctions between Iran and the United States.

The Central bank figures showed reserves in Africa's largest economy dropped from $45.62 billion on  September 3, 2018, to $44.31 billion on September 28, 2018, the lowest since March 14, 2018.

This depletion cut short Nigeria's central bank's projection to meet $50 billion marks at the end of 2018.

Nigeria is happy with the current crude oil price

Isaac Okorafor, CBN spokesperson, in an interview on Channels Television Business Morning, on Wednesday, dismissed political insinuations attributed to the fall in the nation's foreign reserves.

Okorafor said the key factor in the drop was as a result of the rise  US interest rate. He said the hike in US rate is affecting emerging markets and frontier economies.

On crude oil price, he said, “We are happy with the development, it is in our favour as long as oil price goes up.�

“Nigeria is very comfortable and we will continue to maintain our exchange rate stability.�

Okorafor said in the near term the local currency, Naira will appreciate as a result of positive development in the oil market.

In May 2018, the reserves climbed the highest at $47.86 billion in 2018 but made its first decline on May 14 slipping to $47.79 billion, according to an earlier report by Business Insider SSA.

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Finance: Nigeria's foreign reserves dropped to .31 billion in September 2018

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