Naira dips slightly despite surge in FX turnover and rising reserves
By Aboki Forex —
The naira came under mild pressure on Monday, depreciating by N2.70 against the dollar in the official foreign exchange market. Data from the Central Bank of Nigeria showed the dollar quoted at N1,383.63 on Monday, up from N1,380.93 on Friday at the Nigerian Foreign Exchange Market.
This happened even as activity in the interbank FX market strengthened significantly. Total turnover surged by 80.28 percent to $223.94 million on Monday from $124.22 million on Friday. The number of deals also rose sharply from 108 to 173, a 60.19 percent increase. This points to stronger market participation at the start of the week.
In the parallel market, the naira closed unchanged at N1,395 per dollar, the same level as the previous week. The gap between the official and parallel market rates narrowed to N12 per dollar from N15 on Friday.
Nigeria’s external reserves continue to trend upward, giving the CBN more capacity to support the naira. Data from the apex bank showed reserves rose to $51.29 billion as of June 26, 2026. This is an increase of $13.92 billion or 37.25 percent from $37.37 billion recorded in the same period in 2025.
The CBN had earlier disclosed that gross external reserves stood at $49.49 billion as of May 15, 2026, providing about 9.04 months of import cover. The Monetary Policy Committee described this level as a robust buffer capable of supporting macroeconomic stability and boosting confidence.
The central bank said the naira has recorded improved relative stability following ongoing foreign exchange reforms, stronger market liquidity, and increased transparency. It noted that the improved stability is reflected in the relatively narrow spread between the official and parallel market rates.