Nigeria’s money supply hits N124.99 trillion amid sustained liquidity expansion

Nigeria’s broad money supply (M3) increased to N124.99 trillion in April 2026, reflecting continued liquidity expansion within the financial system despite ongoing monetary tightening measures by the Central Bank of Nigeria (CBN).

Latest monetary data showed that broad money supply rose from N123.12 trillion recorded in February 2026, representing an increase of nearly N1.87 trillion within the two-month period.

However, the CBN did not publish data for March 2026, leaving a gap in the reporting cycle.

The development comes as monetary authorities continue efforts to balance inflation management with economic growth support. Broad money, or M3, captures the total liquidity available for spending, investment and lending, including currency in circulation, demand deposits, savings, time deposits and foreign currency holdings.

The latest figures showed increases across key monetary aggregates, highlighting continued growth in liquidity within the banking system.

The figures suggest that while foreign asset positions weakened, domestic liquidity conditions remained strong, supported by growth in domestic assets and financial system liquidity.

The rise in liquidity comes amid the CBN’s cautious monetary policy adjustments aimed at stabilising inflation while supporting economic recovery.

Financial analysts said the policy mix reflects the CBN’s attempt to strike a balance between containing inflationary pressures and supporting economic activity amid challenging macroeconomic conditions.

Nigeria’s monetary authorities have continued to maintain a cautious policy stance despite moderating inflation trends in recent months.

Earlier, Nairametrics reported that Nigeria’s foreign exchange reserves recorded a strong rebound in May 2026, rising by about $551 million within the first three weeks of the month after experiencing sustained pressure throughout April.