By Anastasia John E.
New data from the Central Bank of Nigeria (CBN) reveals that a staggering 94.3% of the country’s currency is circulating outside of deposit banks, with a total value of N4.29 trillion in October 2024. This marks a significant increase of N1.59 trillion from the previous year.
According to the CBN’s money and credit statistics, the amount of cash held outside banks has consistently remained above 90% throughout 2024. In October 2024, the total currency in circulation was N4.55 trillion, with N4.29 trillion held outside banks.
This represents a 59% year-on-year increase from N2.70 trillion in October 2023. Despite efforts to promote cashless transactions, the data shows that Nigerians continue to rely heavily on cash, posing challenges for modernizing the financial system.
