Money supply (M3) has hit an all-time high of N99.23 trillion in May 2024, despite monetary tightening by the Central Bank of Nigeria (CBN).
Data from the CBN showed that M3 rose by by 2.33 percent from N96.97 trillion recorded in April 2024. It increased by 7.46 percent quarter-on-quarter from N92.34 trillion in March 2024.
M3 refers to a broad measure of the money supply in an economy. It encompasses various types of liquid assets readily available for spending or investment.
M3 includes M2 (currency, checking deposits, and savings deposits up to two years) along with large time deposits (longer than two years), institutional money market funds, and short-term repurchase agreements (repos).
Currency in circulation inched up by 1.02 percent to N3.96 trillion in May 2024 compared to N3.92 trillion in April 2024. On a quarterly basis currency in circulation rose by 2.59 percent from N3.86 trillion in March of the same year.
The Central Bank data showed that credit to the private sector increased to N74.31 trillion in May 2024, representing 1.92 percent rise above N72.91 trillion in April 2024.
Currency outside banks rose to N3.70 trillion in May 2024. This represents 2.77 percent increase compared to N3.60 trillion in April 2024.
Details soon…
