Naira in circulation rises by 87% to ₦2.6 trillion in 6 months

<p>CIC is an important measure of a country’s money supply.</p>, <span>CBN reported there was a fluctuation in the CIC recorded in the first quarter of 2023 Guardian</span>, <h2>The Currency In Circulation (CIC) recorded in June 2023 was the highest recorded so far for the year as it climbed to ₦2.6 trillion.</h2>, <p>The amount indicates an increase of 87.05% in six months from ₦1.39 trillion recorded in January 2023.</p>, <p>According to the data from the Central Bank of Nigeria (CBN), there was a fluctuation in the CIC recorded in the first quarter of 2023 (Q1).</p>, <p>As of January 2023, the CIC stood at ₦1.39 trillion and by February, it had dropped to ₦982,097 billion.</p>, <p>The figure recorded in February 2023 was listed as the lowest CIC ever witnessed in the last 15 years.</p>, <p>A review of the CBN’s Money and Credit Statistics revealed that from December 2022, the CIC in the country decreased from ₦3.1 trillion to ₦982 billion in February 2023 indicating a 68.3% decrease over the period.</p>, <p>This was a result of the CBN’s naira redesign policy initiated in October 2022, to phase out the old ₦1,000, ₦500 and ₦200 denominations.</p>, <p>The policy which aimed to mop up excess cash flopped as businesses and households were unable to access their cash at banks to make daily transactions.</p>, <p>By March 2023, the CIC increased to ₦1.68 trillion when the apex bank relaxed its rules on the naira redesign policy.</p>, <p>By April, May, and June, there was a steady increase in the CIC as the values recorded were ₦2.48 trillion, ₦2.53 trillion, and ₦2.60 trillion, respectively.</p>, <p>CIC is an important measure of a country’s money supply. It refers to the amount of cash – whether paper notes or coins – used physically by consumers and businesses to conduct transactions.</p>, <p>According to the CBN, it can be described as all currencies regarded as legal tender currently held by the public and in the vaults of the Deposit Money Banks.</p>