Nigerian Banks Deposit N83.95tn with CBN in July 2026

In July 2026, Nigerian banks significantly increased their deposits with the Central Bank of Nigeria (CBN), totaling N83.95 trillion through the Standing Deposit Facility (SDF). This figure represents a 670.2% increase compared to N10.9 trillion in July 2025.

The rise in SDF placements coincided with a substantial decline in banks' reliance on the Standing Lending Facility (SLF), with borrowing through the SLF dropping to N1.19 trillion, an 82% decrease from N6.63 trillion in July 2025. The SDF allows banks with excess cash to earn interest on overnight deposits, while the SLF provides short-term funding for banks facing liquidity shortfalls.

The CBN maintained a tight monetary policy, keeping the Monetary Policy Rate at 26.5% and the Cash Reserve Ratio for commercial banks at 45%. Joel Asika, a Lagos-based banking analyst, noted that the movements in SDF and SLF indicate improved liquidity conditions in the banking sector, with banks holding excess cash and reduced funding pressure.