…Naira stock hits N5.73 trn, but real value falls 14%
Nigeria’s currency in circulation rose 72.4% in five years to N5.73 trillion in 2025, but the increase in the volume of naira notes has been accompanied by a significant erosion in their real purchasing power amid persistent inflation.
Currency in circulation rose from N3.325 trillion in 2021 to N5.733 trillion in 2025, according to Central Bank of Nigeria (CBN) data. It declined to N3.011 trillion in 2022 before rising to N3.653 trillion in 2023, jumping 49% to N5.441 trillion in 2024 and reaching N5.733 trillion in 2025.
The CBN, in its 2025 Annual Report, attributed the increase to the increased pace of economic activity and rising demand for cash. The bank approved a currency indent of 5,706.8 million pieces across various denominations for 2025, up 20.5% from the 4,737.5 million pieces approved in 2024.
However, economic analysts say the rise cannot be viewed solely as evidence of stronger economic activity, arguing that inflation and the rapid expansion of electronic payments are also important factors shaping demand for physical cash.
