Currency outside the formal banking system moderated to N4.49 trillion in June 2025, down from N4.63 trillion in May, though it continued to dominate overall liquidity by accounting for about 90 per cent of total circulation.
Currency in circulation (CIC) closed the month at N5.01 trillion, marginally higher than N5.00 trillion recorded in the previous month, according to the latest Central Bank of Nigeria (CBN) data.
The pullback marks the first notable easing in two months, following a steady rise in cash supply.
Over the past year, cash outside banks (CoB) had maintained an upward trajectory, climbing from N3.79 trillion in June 2024 to a peak of N5.13 trillion in December 2024, driven largely by festive spending.
From July through November, out-of-bank currency expanded consistently—rising from N3.66 trillion in July to N4.02 trillion in September and N4.65 trillion in November underscoring the persistent reliance on cash in the economy.
The trend shifted at the turn of 2025 as liquidity conditions began to adjust. In January, CoB eased to N4.74 trillion before declining further to N4.52 trillion in February.
