On Thursday, the naira strengthened against the dollar, pushing below ₦1,360/$ after four weeks.
This shift reflected calmer trading conditions, as rising external reserves and reforms supported demand.
Naira Strengthens Below ₦1,360/$ Amid FX Stability
Data from the Central Bank of Nigeria showed the naira closed at ₦1,359.75/$ on June 4, 2026.
This outcome compared with ₦1,360.00/$ a day earlier in the official market.
Notably, the currency broke below ₦1,360/$ for the first time since 7 May 2026.
FX Trading Range Tightens As Liquidity Improves
During trading, the naira moved actively within ₦1,356.75/$ and ₦1,361.50/$ range.
The market set an average rate of ₦1,359.138/$ through active interbank pricing.
Read Also: Naira Firms To ₦1,833/£1 As British Pound Holds Steady
Meanwhile, interbank traders executed $128.17 million across 121 deals during the session.
Consequently, the narrow band signalled lower volatility and improved liquidity conditions.
Reserves Rise Boosts Market Confidence
In parallel, Nigeria’s external reserves climbed to $49.96 billion on June 3, 2026.
They increased by over $155 million in one day, boosting market sentiment further.
Moreover, reserves added about $1.22 billion throughout May 2026.
At the same time, policymakers introduced reforms to strengthen FX market operations.
For instance, authorities raised import advance payments from 15% to 30%.
This change improved trade settlement flexibility and eased foreign exchange access.
Additionally, stronger inflows from oil exports, remittances, and investments supported stability.
As a result, the naira closed May 2026 at ₦1,372/$, improving from ₦1,585.50/$ in May 2025.
