Naira gains, trades below N1,360/$ for first time in four weeks

The naira appreciated further against the United States dollar on Thursday, closing below the N1,360/$ threshold for the first time in about four weeks amid improved market liquidity and rising external reserves.

Data from the Central Bank of Nigeria (CBN) showed that the currency closed at N1,359.75/$ on June 4, 2026, slightly stronger than the previous day’s rate of N1,360.00/$.

The development marks a modest but significant gain, as it is the first time the naira has traded below N1,360 since May 7, 2026, signalling relative stability in the foreign exchange market.

During the trading session, the naira fluctuated between N1,356.75/$ and N1,361.50/$, reflecting a narrow band that suggests reduced volatility and improved balance between demand and supply.

Interbank FX turnover stood at $128.17 million, with 121 transactions recorded among financial institutions.

The appreciation comes amid a steady rise in Nigeria’s external reserves, which increased to $49.96 billion as of June 3, 2026, marking a daily gain of over $155 million.

Analysts attribute the improved performance to stronger FX inflows from oil exports, remittances and portfolio investments, alongside ongoing reforms by the CBN to stabilise the market.

The apex bank recently introduced updates to its foreign exchange framework aimed at improving transparency and easing access to forex for businesses.

Despite recent gains, the naira remains under pressure compared to its position a year earlier, highlighting continued challenges in Nigeria’s currency market.