Currency in circulation drops to N5tn in 6 months

The currency in circulation in Nigeria has dropped to N5 trillion in the span of six months, according to recent data. While there had been a steady rise in currency circulation since the beginning of the year, the amount of physical money used for transactions saw a decline in May.

The data indicated that currency circulation had been steadily growing over the past year, reaching a peak of N6 trillion in December 2024. However, the figure dropped to N5 trillion in January, marking the first decline in a year, and continued to decrease in the following months.

Ayokunle Olubunmi Augusto attributed the rise in currency circulation to increased revenue shared among the three tiers of government, as well as factors like devaluation of the naira and an increase in crude oil production. The data from the Central Bank of Nigeria's website also showed a decrease in currency outside of banks, standing at N5 trillion in June.