Banks' Deposits with CBN Fall 87% to N1.22trn
The Central Bank of Nigeria (CBN) has revealed a significant decrease in banks' deposits with the apex bank. According to the CBN financial data for October 2026, the total deposits dropped by 87% to N1.22 trillion from N9.4 trillion in September 2026.
The Central Bank of Nigeria has recently adjusted its monetary policy rates, including the Monetary Policy Rate (MPR) and Standing Lending Facility (SLF) and Standing Deposit Facility (SDF) rates.
Monetary Policy Rate (MPR) and Facility Rates Adjusted
The CBN has reduced the MPR from 26.5% to 23% and adjusted the SLF rate from 25% to 23.5%, while the SDF rate has been cut from 22% to 20%. These adjustments aim to encourage banks to deploy funds into lending and other investment opportunities instead of keeping excess liquidity with the CBN.
Deposits with CBN Drop by 87%
The Central Bank of Nigeria's data indicates that banks' deposits with the CBN declined by 87% in October 2026. The previous month, the total deposits stood at N9.4 trillion, but in October, it fell to N1.22 trillion.
The CBN's Facility Rates
- Monetary Policy Rate (MPR) reduced from 26.5% to 23%
- Standing Lending Facility (SLF) rate decreased from 25% to 23.5%
- Standing Deposit Facility (SDF) rate fell from 22% to 20%
The Central Bank of Nigeria has adjusted its facility rates in an effort to encourage banks to allocate funds for lending and other investment opportunities rather than retaining excess liquidity with the CBN.
<small>Source: Vanguard News — read the original story there.</small>
