Broad money supply (M3) dipped by 1.6% in September 2025, falling to N117.78 trillion from N119.69 trillion in August, according to newly released figures from the Central Bank of Nigeria (CBN
This decline followed the Central Bank of Nigeria’s Monetary Policy Committee decision to lower the Monetary Policy Rate (MPR) during its 302nd meeting.
Despite the month-on-month drop, broad money supply (M3) remains higher on a yearly basis, rising by 7.6 percent from N109.41 trillion recorded in September 2024. This suggests that, while short-term tightening measures are taking effect, overall liquidity has still expanded over the past year.
Foreign assets also recorded a mild uptick, rising to N41.66 trillion in September from N41.59 trillion in August — a 0.2 per cent increase.
The broad money measure (M3) reflects not only M2 — which covers currency in circulation, demand deposits, and quasi-money — but also additional broad financial components. It is shaped by movements in both net domestic assets and net foreign assets
The CBN Governor, Olayemi Cardoso, had, during the previous MPC meeting, implemented key monetary adjustments. These included cutting the Monetary Policy Rate by 50 basis points to 27.00 percent, modifying the Standing Facilities corridor to +250/-250 basis points, and increasing the Cash Reserve Requirement for commercial banks to 45 percent. Additionally, a 75 percent CRR was imposed on non-TSA public sector funds, while the Liquidity Ratio remained unchanged at 30 percent.