Naira Breaks 3-Year “April Curse,” Gains Strength Against Dollar in Surprise Turnaround

• The naira strengthened in April 2026, closing at N1,374 to a dollar, its first gain for the month in three years
• The exchange rate was more stable compared to March, trading within a narrower range due to improved dollar supply and lower market pressure
• The recovery was driven by tighter policies from the Central Bank of Nigeria, higher foreign inflows, and reduced demand for dollars

Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.

Nigeria’s currency, the naira, posted a rare gain in April 2026, ending a three-year streak of losses during the same month.

Data from the Central Bank of Nigeria shows the naira closed April at N1,374/$, improving from N1,387/$ at the end of March.

This marks the first time since 2023 that the naira strengthened in April, a month that has historically brought pressure on the currency.

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In previous years, the naira weakened consistently during this period, making the 2026 performance a notable shift and a sign of improving confidence in Nigeria’s financial system.

Naira: Stability replaces volatility

Unlike March, which saw sharp swings and a drop to around N1,425/$ before recovering, April was relatively calm.

According to Punch, the naira traded within a tighter range of about N1,340 to N1,389/$, reaching its strongest level of N1,341/$ on April 16.

This stability was supported by increased dollar supply and reduced market demand pressures.

What’s driving naira's improvement?

Compared to April 2025, when the naira stood at N1,602/$, the current rate reflects a strong year-on-year recovery.

Analysts link this progress to tighter monetary policies by the central bank, increased foreign exchange inflows from oil earnings and diaspora remittances, and reduced speculative demand for dollars.

Overall, the figures suggest that improved liquidity and more disciplined policy measures are helping the naira move toward a more stable and predictable path, even during a period that typically sees increased demand for foreign currency.

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Speaking to Legit.ng on why the naira has seen some improvements against the dollar lately, Olumide Adesina, a financial expert, highlighted the role of CBN reforms and policies.

He said:

"Nigeria’s naira is strengthening mainly due to improved foreign exchange liquidity and firmer policy direction. Sustained tightening by the Central Bank of Nigeria has reduced excess naira chasing dollars, while higher inflows from oil exports and diaspora remittances are boosting supply.

"At the same time, clearer FX market rules and reduced speculative trading have helped stabilise expectations. The narrowing gap between official and parallel market rates is also restoring confidence among investors."

Adesina added that altogether, these factors are easing pressure on the currency and supporting a more stable, predictable exchange rate environment in the short term.

Dangote predicts naira to dollar exchange rate

Meanwhile, Legit.ng earlier reported that business mogul Aliko Dangote expressed optimism about the naira, predicting that it could strengthen to around N1,100 against the dollar before the end of 2026.

He based this outlook on recent economic reforms introduced by the government, noting that these changes are beginning to have a positive impact, especially for manufacturers.

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Although the naira currently trades around N1,300 to the dollar, Dangote believes the improving policy environment and ongoing reforms will continue to support the currency’s recovery.

Source: Legit.ng