Nigeria's money supply rises to N133.25 trillion as CBN holds rate at 26.5%
Nigeria's broad money supply (M3) rose to N133.25 trillion in June 2026 from N129.21 trillion in May, a monthly increase of N4.04 trillion (3.11%) and a year-on-year rise of N16.00 trillion (13.59%) from June 2025. The expansion was driven by growth in quasi-money (to N88.54 trillion) and domestic assets, while currency outside banks fell to N4.92 trillion. Net domestic assets increased 4.37% to N106.73 trillion, and net foreign assets declined slightly to N26.53 trillion. The Central Bank of Nigeria kept the monetary policy rate at 26.50% following its May 2026 MPC meeting, after cutting it to 27% in September 2025 and holding steady in November.
This liquidity growth despite high borrowing costs signals strong domestic asset accumulation, potentially boosting credit availability but also raising inflationary pressures. For businesses and consumers, easier access to loans could stimulate spending and investment, yet persistent money supply growth may undermine the CBN's inflation-fighting stance.
With liquidity rising while borrowing costs remain high, should businesses expect easier credit access or brace for continued inflation pressure, and how might this affect your savings and loan decisions?