Naira Opens July Strong, Appreciates Against US Dollar
- The naira appreciated by N7.27 against the US dollar in the official foreign exchange market, closing at N1,372.41/$1
- CBN data shows Nigeria's external reserves rose to $51.46 billion at the end of the first half of 2026
- The local currency traded flat in the parallel market as lower interbank FX demand eased pressure
The Nigerian naira on Wednesday, July 1, further extended its gains in the official foreign exchange market against the United States Dollar.
The gain recorded in recent days has been facilitated by an increased flow of dollars and decreased demand for the greenback.
Source: Getty Images
According to data from the Nigerian Foreign Exchange Market (NAFEM), N7.27 or 0.39% was gained to close the market at N1,372.41 for every $1, compared to N1,379.68 on Tuesday.
Naira compared to other currencies
The local currency also strengthened against other major international currencies in the official market.
Against the British pound sterling, the naira appreciated by N3.32 to close at N1,821.73/£1, up from N1,825.05/£1 recorded a day earlier.
Similarly, it gained N7.61 against the euro to settle at N1,565.37/€1, compared with the previous exchange rate of N1,572.98/€1.
While the official market recorded gains, the naira traded flat in the parallel market, where the US dollar exchanged at N1,395/$1.
The exchange rate at GTBank's FX desk also remained unchanged at N1,389/$1.
Why the naira appreciated
Market data showed that the number of interbank foreign exchange deals fell to 91 from 166 in the previous session, indicating weaker demand for US dollars by customers.
The decline in FX transactions reduced pressure on the official market and helped support the naira's appreciation.
Nigeria also received additional foreign exchange inflows during the first half of 2026, boosting the country's gross external reserves to $51.46 billion by the end of June.
The stronger reserve position is expected to enhance the Central Bank of Nigeria's (CBN) ability to support liquidity in the foreign exchange market.
Source: Getty Images
Other exchange rates
- CFA: N2.40
- Chinese Yuan (Renminbi): N201.98
- Danish Krone: N209.40
- Euro: N1,565.37
- Japanese Yen: N8.45
- Saudi Riyal: N365.45
- South African Rand: N83.80
- SDR: N1,860.65
- Swiss Franc: N1,696.42
- British Pound Sterling: N1,821.73
- US Dollar: N1,372.41
- WAUA: N1,870.31
- UAE Dirham: N373.67
Nigeria proposes pan-African payment card
Earlier, Legit.ng reported that the federal government has announced plans to develop a continent-wide payment card which would enable direct transfers between currencies of African countries, eliminating the need for intermediary currencies like the US dollar.
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed the plan when he met with a Mastercard delegation.
According to Oyedele, Africa has the opportunity to revolutionise its payment infrastructure to enable direct settlement between its currencies and reduce the cost of transactions across the continent.
Source: Legit.ng
