The naira traded around ₦1,375.41 to the dollar on Thursday at the Nigerian Foreign Exchange Market window, holding near a range it has largely occupied through the past week. Currency traders said the relative calm reflected better foreign exchange supply and the Central Bank of Nigeria’s continuing reforms.
The central bank said the changes underway in the FX market are meant to improve transparency, strengthen investor confidence and support long-term stability for the naira. In recent market data, the currency has mostly moved between ₦1,370 and ₦1,390, a narrower band than the sharp swings that have unsettled businesses and households in earlier periods.
That steadiness matters now because investors and businesses are still watching liquidity levels, external reserves and monetary policy decisions for signs of whether the current pattern can last. For the moment, the market is responding less to sudden shocks and more to a clearer policy direction, which traders say has helped calm daily pricing.
The tension is that the naira’s improvement is still being tested by the same forces that have driven uncertainty before. The central bank wants the market to believe the reforms are taking hold, but analysts say the next moves on liquidity, reserves and policy will decide whether Thursday’s level is a pause or the start of something more durable.
For now, the answer is that the naira is steadier because supply has improved and the central bank has kept pushing reforms that traders can see in the market. The question is no longer whether the currency can move into a tighter range; it is whether policy makers can keep it there.
