Thee Central Bank of Nigeria, CBN, has revealed that Nigeria Money Supply, M1, took a nosedive to N9.125 trillion in August from N9.231 trillion in July of 2016, representing a 1.15 per cent decline.
Money Supply M1 in Nigeria averaged N3.917 trillion from 2000 until 2016, however, it hit an all time high of N9.392 trillion in May of 2016.
The apex bank, in its Economic Report for May 2016 revealed that Narrow money supply (M1) at N9,391.87, grew by 2.8 per cent, relative to the level in the preceding month.
The development, relative to the preceding month reflected wholly the increase of 3.9 per cent in demand deposit component. Reserve Money (RM) declined by 1.6 per cent at the end of the review month.
The report also showed that the total value of money market assets outstanding, in May 2016, stood at N10,226.3 billion, showing an increase of 2.8 per cent, compared with 2.0 per cent growth at the end of the preceding month. The CBN attributed the development to the 51.9 per cent increase in the Commercial Paper outstanding.
