Naira strengthens as external reserves hit $51.06 billion, beat CBN target
By Aboki Forex —
The naira gained marginally across foreign exchange market segments on Monday. This came as Nigeria's external reserves rose past the Central Bank of Nigeria's year-end target of $51.04 billion.
Data from the CBN showed the naira appreciated by N1.35 in the Nigerian Foreign Exchange Market. The dollar was quoted at N1,369.11 on Monday, down from N1,370.46 on Friday.
Activity in the interbank FX market improved sharply. The number of deals executed jumped by 59.32 percent to 94 on Monday, from 59 on Friday. Interbank turnover also rose by 63.47 percent to $65.21 million, reflecting stronger market activity at the start of the week.
NFEM transaction data for Monday was not available at the time of reporting. However, market activity had slowed at the close of last week. NFEM deals fell to 201 on Friday from 253 on Thursday. Turnover dropped by 45.25 percent to $207.14 million from $378.34 million.
In the parallel market, the naira gained N5 to close at N1,395 per dollar. That is a 0.4 percent appreciation from N1,400 recorded on Friday. The spread between the official and parallel market rates widened slightly to N31 on Monday from N30 at the close of last week.
Nigeria's external reserves continued their upward climb. They rose to $51.06 billion as of June 19, 2026. This level exceeded the apex bank's target of $51.04 billion. It also represented a 32.62 percent increase compared to $38.50 billion recorded in the same period of 2025.
Analysts at Quest Merchant Bank said the stronger reserve position helped the naira perform better across both markets during the month. According to the bank, the currency appreciated by 0.2 percent month-on-month in the official market to N1,372.00 per dollar. In the parallel market, it gained 0.6 percent month-on-month to N1,390 per dollar.
Across other major African economies monitored by the bank, reserve trends were mixed. In South Africa, the country's international liquidity position declined by $29 million month-on-month to $73.5 billion. The drop was attributed to weaker gold valuation effects and higher external payments.