Nigeria’s money supply drops by 1.6 per cent – CBN

Nigeria’s broad money supply (M3) dropped to N117.78 trillion in September 2025, marking a 1.6 percent decline from N119.69 trillion in August.
This is according to recent data from the Central Bank of Nigeria (CBN).

The decline came amid the CBN Monetary Policy Committee’s decision to cut the Monetary Policy Rate (MPR) at its 302nd meeting.

However, despite the monthly drop, M3 was still up by 7.6 percent on a year-on-year basis compared to N109.41 trillion in September 2024, indicating a fair balance between longer-term liquidity expansion and short-term tightening pressures.

Also, foreign assets edged slightly higher to N41.66 trillion from N41.59 trillion in August — a 0.2 percent rise.

DAILY POST reports that M3 captures M2 (currency, demand deposits, and quasi-money) alongside other broad components and is influenced by net domestic assets and net foreign assets.

Recall that CBN Governor Olayemi Cardoso, at the end of the last MPC meeting, reduced the country’s MPR by 50 basis points to 27.00 percent, adjusted the Standing Facilities corridor to +250/-250 basis points, raised the Cash Reserve Requirement (CRR) for commercial banks to 45 percent, and introduced a 75 percent CRR on non-TSA public sector deposits, while the Liquidity Ratio was retained at 30 percent.