CBN Mops Up N4.48 Trillion in Aggressive Liquidity Tightening to Stabilise Nigeria’s Financial System
The Central Bank of Nigeria (CBN) has stepped up its liquidity management drive, mopping up a total of N4.48 trillion from the banking system within two Open Market Operations (OMO) sessions conducted over six days. The move reflects the apex bank’s renewed effort to curb excess liquidity and stabilise short-term financial conditions.
According to financial system data covering April 8 to April 15, 2026, the CBN intensified its sterilisation activities, particularly on April 9 and April 14. These interventions significantly reduced liquidity levels across banks and discount houses, signalling a tighter monetary stance in mid-April trading activities.
The banking system reflected the impact of these operations, as opening balances fell sharply to N99.05 billion on April 15, down from N135.76 billion the previous day. Despite this decline, substantial funds remained parked at the Standing Deposit Facility (SDF), indicating that liquidity in the system remains relatively strong.
Breaking down the figures, the CBN recorded N2.31 trillion in OMO sales on April 9 and N2.17 trillion on April 14, bringing the total to N4.48 trillion. Additional activity included N1.34 trillion in OMO repayments, alongside primary market sales and repayments that further shaped short-term liquidity flows across the financial system.
Analysts note that the sustained liquidity mop-up reflects a deliberate strategy by the CBN to control excess cash, moderate inflationary pressures, and support exchange rate stability. While liquidity remains ample, the consistent decline in SDF balances and opening bank positions suggests a gradual tightening that could influence interbank lending rates and broader market behaviour in the coming weeks.
source: nairametrics