Despite Cash Scarcity, CBN Says Currency in Circulation is N3.35 Trillion

• The Central Bank of Nigeria has said the currency in circulation has risen to N3.35 trillion
• It said the report is for the last three months of 2023, which saw Nigerians battling for cash
• The apex bank stated that the currency in circulation rose by 21.37% in the period under review

Pascal Oparada has over a decade of experience covering Tech, Energy, Stocks, Investments, and Economy.

Data from the Central Bank of Nigeria (CBN) says the currency in circulation has spiked by 21.37% in less than three months despite the liquidity squeeze plaguing Nigerian banks

The CBN data showed that currency in circulation increased to N3.35 trillion in November 2023, compared to N2.76 trillion recorded in September 2023, when the new Governor of the CBN, Yemi Cardoso, assumed office.

Read also

Access, GTB, UBA, other banks take advantage of CBN’s decision to remove deposit limit on savings

Currency in circulation rose when Cardoso assumed office

The report revealed that cash outside banks rose by 27.80% to N3.08 trillion in November 2023 from N2.41 trillion in September 2023.

In November last year, the apex bank assured Nigerians that it had sufficient cash in its vault and the banking system to serve economic activities in Nigeria.

The announcement came as Nigerians reported cash scarcity in banks, ATMs, PoS, and other cash points in major cities nationwide.

BusinessDay reports that banks struggled to meet customers’ cash requests, leading them to resort to PoS operators who hiked their charges by over 50%.

Banks and PoS operators disagree as cash scarcity persists in Nigeria

Earlier, Legit.ng reported that residents across the country have continued to lament the scarcity of cash in banks even after the Yuletide.

Read also

Full List: 11 banks with highest staff salaries going into 2024, Access, First Bank lead

The residents, who spoke to the News Agency of Nigeria (NAN) in Ibadan, said not so much had changed from what the situation was the last Yuletide as they can only withdraw a maximum of N10,000 at some ATM points while many ATMs were empty.

The situation has forced many to seek money from PoS operators at a more expensive rate. Findings showed that PoS operators, who are the last resort for cash-strapped Nigerians, increased their fees to N400 for every N10,000 withdrawal instead of the N200 they had previously charged.

Source: Legit.ng