The Central Bank of Nigeria (CBN) has disclosed that Nigeria’s broad money supply rose to N119.04trilion in October 2025 from N117.78tn in September.
The increase amounted to N1.25trillion, equivalent to 1.06 per cent, reversing the slowdown recorded a month earlier. Year-on-year, M3 (broad money supply) expanded by N11.04trillion or 10.22 per cent from N107.99tn in October 2024, reflecting a continued build-up of liquidity in the financial system despite a tight monetary environment.
The rise in October followed the Monetary Policy Committee’s decision in September 2025 to cut the Monetary Policy Rate by 50 basis points to 27 per cent, the first rate reduction since 2020. The cut came as inflation began to moderate and foreign exchange conditions improved.
Broad money supply, which includes narrow money, quasi-money, and other liquid assets, strengthened in the month that followed, indicating a higher availability of cash and near-cash balances, even as the CBN cautiously eased without fuelling renewed inflationary pressure.
This sharp expansion outweighed a notable drop in net foreign assets, which declined from N41.66trillion in September to N34.80trillion in October.
The fall of N6.86trillion represents a 16.45 per cent month-on-month contraction, and highlights renewed external pressures, despite NFA still standing N14.01trillion higher than the same period in 2024.