LAGOS, July 7, 2026 – Nigeria’s currency, the naira, continued its upward momentum at the official foreign exchange market, appreciating further against the United States dollar as improved liquidity and sustained monetary reforms boosted market confidence.
Latest figures released by the Central Bank of Nigeria (CBN) showed that the naira appreciated by ₦1.92 at the Nigerian Foreign Exchange Market (NFEM), closing at ₦1,368.26/$1 on Monday, compared with the previous trading session.
The latest gain extends the local currency’s recent recovery, reinforcing signs of increased stability in the official foreign exchange market following a series of reforms introduced by the apex bank.
Financial analysts attribute the naira’s improved performance to stronger foreign exchange inflows, increased market transparency, tighter monetary policy, and the CBN’s sustained efforts to improve liquidity in the forex market.
The appreciation is expected to provide modest relief for businesses that rely on imported raw materials and could help moderate the cost of imported goods if the trend is sustained. However, experts caution that long-term exchange rate stability will depend on consistent foreign exchange earnings, improved crude oil production, stronger investor confidence, and continued fiscal and monetary policy coordination.
Although the naira has recorded notable gains in recent weeks, economists warn that global oil price fluctuations, external economic shocks, and domestic inflation remain significant risks to the currency’s outlook.
The CBN has repeatedly stated that its ongoing reforms are aimed at creating a transparent, market-driven foreign exchange system capable of attracting investment, improving liquidity, and ensuring long-term stability of the naira.
With the currency maintaining its positive trajectory, market watchers will closely monitor upcoming economic data and the Central Bank’s policy direction to determine whether the recent gains can be sustained in the months ahead.
