Naira shows stability as first May trading week ends at N1,364/$

The Naira closed the first trading week of May 2026 on a relatively stable note against the United States dollar, settling at N1,364/$ in the official foreign exchange market.

Data from the Central Bank of Nigeria (CBN) showed that the currency maintained positive momentum for most of the week, reinforcing signs of improving stability in Nigeria’s foreign exchange market.

The latest performance extends the gains recorded at the close of April and reflects growing market confidence in the ongoing foreign exchange reforms being implemented by the CBN.

What the data is saying  

The naira traded within a relatively narrow range throughout the week, highlighting reduced volatility and stronger market stability.

• The naira closed at N1,364/$ on Friday
• The currency traded at N1,358.01/$ on Thursday, N1,361/$ on Wednesday, and N1,362/$ on Tuesday
• Monday’s official closing rate stood at N1,367.5/$
• The naira appreciated from N1,383/$ recorded two weeks earlier

Compared to the previous week, the local currency also recorded stronger levels.

• The naira traded at N1,374/$ on Thursday of the previous week
• It closed at N1,370.5/$ on Wednesday and N1,383/$ on Tuesday
• Monday’s rate during the previous week stood at N1,369/$

The latest movement means the naira gained about N19 against the dollar over a two-week period.

More Insights

The recent appreciation further reflects the currency’s recovery from earlier pressures seen at the beginning of April.

• The naira traded at N1,389/$ on April 7
• It closed at N1,382.75/$ on April 2
• The currency also traded at N1,376/$ on April 1
• By April 9, the naira had strengthened to N1,365/$

Nairametrics previously reported that the naira closed April 2026 at N1,374/$ compared to N1,387/$ recorded at the end of March, marking the first April gain for the currency since 2024.

The naira’s gains come despite a slight decline in Nigeria’s external reserves, which remain a key indicator of the CBN’s intervention capacity.

• External reserves declined slightly to $48.33 billion as of May 7, 2026
• This compares to $48.34 billion recorded on May 4
• The decline represents a drop of about $14.8 million over the period

What you should know

Nairametrics reported earlier that traders have said the CBN had maintained restrictions on Bureau De Change (BDC) operators’ access to the official foreign exchange market, citing concerns over control and past abuses.

Nairametrics reported earlier that Nigeria’s external reserves declined by about $731 million within the first three weeks of April 2026.

Despite the recent dip, the CBN maintains an optimistic outlook for the country’s external reserves.

• The apex bank had previously projected that reserves could reach $51 billion by the end of 2026 as part of its broader macroeconomic stabilization and confidence-restoration agenda.

The CBN has scheduled its 305th Monetary Policy Committee (MPC) meeting for May 19–20, 2026, according to an official MPC Calendar.

This meeting follows the February 2026 rate cut and will determine the direction of the monetary policy rate (MPR) to maintain economic stability.