The currency in circulation drops in Nigeria continued in March 2025, falling to N5tn, down from N5.04tn in February and N5.24tn in January. The Central Bank of Nigeria (CBN) released this data through its latest money and credit report.
Currency in circulation refers to all physical cash used for everyday transactions. A decrease in this figure often shows that the central bank is working to control inflation and maintain stability in the economy.
At the same time, CBN’s bank reserves rose to N28.52bn in March, an increase from N27.57bn in February and N27.43bn in January. This upward trend signals stronger liquidity control and a more secure banking sector.
The special intervention reserves stayed at N284.36m throughout the first quarter, showing no new emergency spending by the CBN.
In contrast, at the end of March 2024, currency in circulation stood at N3.87tn, rising from N3.65tn in January. That period showed a steady increase in money flowing outside banks.
In addition, Nigeria’s money supply fell to N110.32tn in February, dropping from N110.94tn in January. This marks the first decline in 2025 and supports the CBN’s tighter approach.
With inflation still a concern, the drop in cash and increase in reserves show that the CBN is taking firm steps to manage the economy. These moves aim to reduce inflation and prepare for long-term financial stability.
