Naira rebounds to N1,358.25/$ as reserves climb above $52 billion

The naira strengthened by N5.75 against the US dollar over the week, closing at N1,358.25/$ at the Nigerian Foreign Exchange Market (NFEM) on Friday, according to Central Bank of Nigeria (CBN) data.

The currency had closed the previous week at N1,364/$, meaning Friday’s rate represents a 0.42% appreciation week-on-week.

The naira also gained N2.75, or 0.20%, against the N1,361.50/$ recorded at the start of the week on Monday.

The recovery came after the naira initially weakened during the week, reaching N1,365/$ on Tuesday before strengthening over the final three trading sessions.

The movement occurred amid fluctuations in foreign exchange market activity and a rise in Nigeria’s external reserves.

What the data is saying

CBN trading data showed that the naira ended the week stronger despite midweek weakness, while foreign exchange turnover remained volatile during the period.

• The naira closed at N1,360.15/$ on Wednesday, appreciated further to N1,356.50/$ on Thursday and settled at N1,358.25/$ on Friday.
• On Friday, the currency traded between a high of N1,360/$ and a low of N1,356.50/$, while the weighted average rate stood at N1,357.61/$.
• The simple average rate was N1,357.72/$.

CBN data showed that 137 interbank deals were recorded on Friday, with interbank turnover of $119.59 million.

More Insights

The naira’s recovery came amid fluctuations in foreign exchange market activity during the week, with turnover falling sharply before recovering in subsequent sessions.

• NFEM turnover fell to $185 million on August 11, the lowest level in 11 weeks, as market activity thinned.
• The number of deals dropped to 186 on Tuesday from 348 on Monday, while interbank deals declined from 182 to 47.
• Market activity improved on Wednesday, with 409 deals recorded and NFEM turnover of $607.47 million.
• On Thursday, 283 deals were recorded, while NFEM turnover stood at $387.09 million.

The August 11 turnover was the lowest recorded since May 25, when NFEM turnover stood at $175.34 million. FX turnover had previously climbed to $1.25 billion on August 7 before falling to $878.55 million on August 6 and $460.14 million on August 5.

Nigeria’s external reserves also increased during the week, rising to $52.26 billion from $52.06 billion recorded the previous week.

The increase provides additional support to the country’s foreign exchange position as the naira continues to trade within a relatively narrow range at the official market.

• The reserves increased by about $201.86 million during the week.
• This represents a 0.39% increase over the period.
• Nigeria’s external reserves remained above the $52 billion mark.

What you should know

Nairametrics earlier reported that Nigeria’s external reserves rose to $52.02 billion on July 20, 2026, reaching their highest level since January 2009 and surpassing the Central Bank of Nigeria’s (CBN) projected level for the full year.

In December, the CBN projected the external reserves to rise to $51.04 billion in 2026, supported by stronger oil earnings, foreign exchange (FX) market reforms, and improved external inflows.

In 2025, Nigeria’s external reserves crossed the $45 billion mark.