CBN Reports Rise in Currency in Circulation to N1.68trn in March After Naira Redesign

The Central Bank of Nigeria (CBN) has announced that the currency in circulation (CIC) in the country rose to N1.68 trillion at the end of March 2023. This is a significant increase from N982.09 billion recorded at the end of February. The rise in CIC came after the CBN implemented its Naira redesign policy, which saw the introduction of new N200, N500, and N1,000 notes.

According to the apex bank, the CIC growth was achieved through an “accounting/statistical/withdrawals and deposits approach,” which tracked the movements of currency in circulation on a transaction-by-transaction basis. The approach helped improve the circulation of notes in the country after the cash crunch experienced in the first two months of the year.

CBN Governor, Godwin Emefiele, had earlier announced plans to redesign old notes due to challenges associated with currency management, including hoarding of banknotes by members of the public and high rates of counterfeiting. The CBN’s special intervention reserves currently stand at N419 billion.

Economists have praised the CBN’s efforts, noting that the increase in CIC shows the apex bank’s commitment to improving the circulation of notes in the country. With this recent development, Nigerians can expect improved access to cash and easier financial transactions.