Nigerian commercial banks have significantly increased the volume of overnight deposits placed with the Central Bank of Nigeria (CBN), as their use of the Standing Deposit Facility (SDF) surged more than 15-fold within a year.
Data from the apex bank revealed that deposits through the SDF skyrocketed by 1,549.36 percent or 16 times to N38.76 trillion as of May 6, 2025, compared to N2.35 trillion on May 7, 2024.
This dramatic increase has been attributed to a combination of elevated Cash Reserve Ratio (CRR), abundant liquidity in the finan
