Nigeria's M3 money supply jumps to N138.78tn in July 2026 amid CBN's tight monetary policy
Nigeria's broad money supply (M3) reached N138.78 trillion in July 2026, marking a 16% year-on-year increase from N119.89 trillion in July 2025 and a 4.14% month-on-month rise from N133.25 trillion in June 2026, according to Central Bank of Nigeria data released this month. The steady expansion continued from N123.95 trillion in January to the July record.
This liquidity growth coincided with significant shifts in money supply components: net foreign assets surged to N37.71 trillion in July (up N11.18 trillion or 42.15% from June), while net domestic credit fell to N101.07 trillion from N106.73 trillion in June (down N5.66 trillion or 5.30%). Meanwhile, the CBN maintained its Monetary Policy Rate at 26.50% in its July 2026 meeting, continuing its tight monetary stance to combat inflation.
The expansion comes as CBN allotted N2.218 trillion in August Treasury Bill auctions—well beyond the N1.4 trillion offered—underscoring strong demand for government securities. Earlier in January 2026, CBN withdrew N13.41 trillion from the financial system, nearly five times higher than the same period last year.
With money supply rising while the CBN holds rates high, what does this mean for your loans, savings, and investment decisions in the current economic climate?