Nigeria’s Broad Money Supply (M2) increased by 51 per cent Year-on-Year, YoY, to N108.96 trillion in November 2024 from N72.03 trillion in the corresponding period of 2023.
Broad Money Supply (M2) represents cash and demand deposits as well as savings deposits, money market deposits, and time deposits.
The increase in M2 reflects the high government domestic borrowing from the private sector which was reflected in the data. According to the Central Bank of Nigeria, CBN, Money and Credit Statistics data released yesterday, the M2 recorded a six-month increase since April 2024.
Still, it reversed the trend in October 2024 declining month-on-month by 1.5 per cent to N107.7 trillion from N109.4 trillion in September 2024 and up again by 1.2 per cent to N108.96 trillion in November.
The report also showed that the YoY money supply increase followed positive component changes. Quasi-money, including savings deposits, time deposits, and other near-money assets, also rose marginally.
The data showed that Quasi Money grew by 1.96 per cent YoY to N72.7 from N71.3 trillion in November 2023. Similarly, Demand Deposits increased by 34.4 percent YoY to N31.6 trillion in November 2024 from N23.2 trillion in November 2023.
