Nigerians keep N5.19 trillion cash outside banks as digital push stalls
According to the Central Bank of Nigeria's Money and Credit Statistics, currency held outside banks rose to N5.19 trillion in May 2026, up N109.34 billion from April and representing 91.27% of total currency in circulation. The figure was N559.16 billion higher than in May 2025, a year-on-year increase of 12.07%.
This persistence of cash dominance shows that despite years of investment in digital payments, mobile money, agent banking and fintech platforms, more than nine out of every ten naira in circulation remains in the hands of households, businesses and the informal economy rather than deposited with banks. Bank reserves fell by N840.77 billion in the same month, indicating tighter liquidity even as cash circulates outside formal channels.
The CBN’s Nigeria Payment System Vision 2028 aims to cut cash outside banks to below 40% of total currency by deploying over 10 million QR-code and tap-to-pay acceptance points nationwide. Governor Olayemi Cardoso said the vision builds on recent progress to create a more inclusive, technology-driven financial ecosystem.
Will you shift more of your transactions to digital platforms as they expand, or does cash still meet your needs better for daily trade, transport or informal commerce?