The Central Bank of Nigeria has released figures of the currency in circulation which rose to N3.15 trillion in November from N2.97 trillion at the end of October.
According to a data released by the CBN, there was an increase in September from N2.78 trillion in August to N2.84 trillion while it was stagnant at N2.81tn in July, N2.74tn in June, N2.79tn in May, N2.79tn in April, N2.8tn in March, N2.78tn in February, and N2.83tn in January.
In its annual report, the Currency Department of the CBN said it made banknotes disposal operations in 2020 to circulation of clean banknotes.
According to the apex bank, the currency in circulation is defined as currency outside the vaults of the central bank. Hence, all legal tender currency in the hands of the general public and in the vaults of the Deposit Money Banks are placed on record of currency in circulation.
The apex bank also said it made use of the accounting, statistical, withdrawals, and deposits approach to track the movement of the currency in circulation on a transaction-by-transaction basis.
According to the Central Bank, each of the withdrawal made by a Deposit Money Bank (DMB) at one of CBN’s branches will be recorded as an increase in the currency in circulation and for every deposit made by a DMB a decrease is recorded.
Therefore, all the transactions are recorded and represented as the country’s currency in circulation.