Currency in Circulation Drops to N5tn as CBN Tightens Monetary Measures

• The total naira in circulation dropped to N5tn in March 2025, continuing a downward trend from N5.24tn in January, per Central Bank of Nigeria data.

• Bank reserves rose to N28.52bn in March.

The amount of naira circulating in the Nigerian economy fell to N5tn in March 2025, down from N5.04tn in February and N5.24tn in January, according to the latest data from the Central Bank of Nigeria (CBN).

This downward trend comes as the apex bank intensifies its monetary tightening efforts to control inflation and manage liquidity.

Naira in circulation refers to all physical currency used for transactions, investments, and savings across the country.

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Analysts believe the decline is part of broader moves by the CBN to tame inflation and stabilize the economy. At the same time, CBN’s bank reserves rose to N28.52bn in March from N27.57bn in February, while special intervention reserves remained unchanged at N284.36m during the quarter.

Comparatively, as of March 2024, Nigeria’s currency in circulation stood at N3.87tn—marking a significant year-on-year rise. However, Nigeria’s total money supply recorded its first monthly dip of 2025, falling to N110.32tn in February from N110.94tn in January, further reflecting the apex bank’s liquidity control measures.