Cash outside Nigerian banks rises to N4.87tn in August, reversing three-month decline
Cash held outside Nigeria's banking system rose to N4.87 trillion in August 2026, up from N4.80 trillion in July, an increase of N70.9 billion (1.48%). This reverses three consecutive months of decline from May's N5.19 trillion to July's N4.80 trillion.
Despite the monthly rise, cash outside banks remains N381.3 billion below the January 2026 peak of N5.25 trillion and is still N419.0 billion higher year-on-year (9.4% increase from August 2025). The CBN aims to reduce cash outside banks to below 40% of total currency in circulation and achieve 95% financial inclusion by 2028 through its Nigeria Payment System Vision 2028, which promotes digital payments.
The CBN's push for digital payments via fintech, mobile money, and instant payments continues, but the August rise suggests ongoing public preference for cash. Consider how this trend affects your own use of digital versus cash transactions, and whether upcoming policies might change access to banking services or transaction costs. Will you shift more to digital payments as the CBN pushes for a cash-lite economy, or does cash still serve your needs better?