The Naira’s value goes up to a four-month high of N1,518.88/$ in the FX market surge.

On Monday, the naira hit a four-month high on the official foreign currency market, trading at N1,518.88 per dollar.This was a major turning point in Nigeria’s monetary history.

The naira’s rise is mostly due to better market liquidity and a clear decline in demand for the US dollar, sometimes known as the greenback, across all FX windows.The naira hasn’t been this high since it closed at N1,517.93 to the dollar on March 14, 2025.

This historical context shows that the naira’s four-month high could mean that the currency is becoming more stable and that investors are starting to trust Nigeria’s financial system again.

The Nigerian Foreign Exchange Market (NFEM) had an exchange rate of N1,530.26 per dollar on Friday. By the end of trade on Monday, the local currency had gained N11.38, or 0.74 percent.The Central Bank of Nigeria (CBN) released this data, which implies that the apex bank’s current monetary policies and interventions may be having an impact and helping to explain why the naira has surged to a four-month high despite uncertainty in the global economy.

Why the Naira is Getting Stronger.

One of the key reasons the naira has gone up in value is that there is more dollar availability on the official market. Reports say that the CBN has been working hard to clear up. The naira has also been less under pressure because there is less speculative demand for the US currency.

This could mean that the market mood is changing, as firms, importers, and even individual foreign exchange purchasers may now trust the naira’s long-term stability more. It’s also important to keep in mind that the naira is rising to a four-month high as a result of government efforts to boost foreign direct investment (FDI) and oil production.
Nigeria’s economy depends a lot on imports, so it needs all the money it can earn from exports and remittances to keep its currency strong. The current positive trend shows that things are getting better, even if they are happening slowly.

The Black Market’s Stability.

The naira, on the other hand, stayed the same at N1,545 per dollar on the illegal market, which is also called the parallel market or black market. The week before, it closed at the same level.

The black market normally works outside of the CBN’s control, but it is nevertheless an important sign of how much people want foreign exchange on the street. The naira’s four-month high is said to be due to more consistent governmental moves and a generally calmer economy.
This is backed by the fact that the black market is stable, even though it is well-known for being volatile.

What This Means for Nigerians.

The naira’s value has been rising over the past four months, which may give everyday Nigerians some hope. A stronger naira could help keep prices from going up by making imports cheaper, especially things like food, gasoline, and medical supplies that people need.Also, it could lower costs for business owners who depend on importing raw materials and students who study abroad.

Analysts say that even if the naira is performing well now, it would take more work to keep it going. Some of these are limiting government spending, making the economy more diverse, and being open about how foreign exchange is distributed. In the end, the naira rose to a four-month high of N1,518.88/$ because of better liquidity, less demand for dollars, and focused monetary policy. If this tendency keeps up, it could lead to a more stable financial system and more confidence in the economy.
Stakeholders must keep an eye on things and work to strengthen the fundamentals of the Nigerian economy to keep these gains from going back to where they were.