Nigeria’s money supply, M3, reached an unprecedented N99.23 trillion in May 2024, even as the Central Bank of Nigeria (CBN) enforced monetary tightening measures.
This data comes from the latest report by the apex bank.
The report reveals that M3 increased by 2.33 percent from N96.97 trillion in April 2024 and surged by 7.46 percent quarter-on-quarter from N92.34 trillion in March 2024.
Additionally, CBN’s data indicated that credit to the private sector rose to N74.31 trillion in May 2024, a 1.92 percent increase from N72.91 trillion in April 2024. Currency outside banks also saw a rise, reaching N3.70 trillion in May 2024, which marks a 2.77 percent up tick from N3.60 trillion in April 2024.
This growth in money supply and credit comes despite the CBN’s interest rate hike to 26.25 percent in May 2024, up from 18.75 percent in January.
On Sunday, the Socio-Economic Rights and Accountability Project (SERAP) issued an ultimatum to the CBN, demanding an account of over N100 billion in ‘dirty and bad notes’ and other large sums of cash awaiting extermination.
