The Central Bank of Nigeria (CBN) approved the production of 5.71 billion banknotes in 2025, representing a 20.5 percent increase from the 4.74 billion notes approved a year earlier. The development reflects efforts by the apex bank to meet the country’s growing demand for physical cash despite the rapid adoption of digital payments and electronic banking services.
CBN Raises Banknote Production Target
Details contained in the CBN’s 2025 Annual Report and Statement of Accounts showed that a significant portion of the currency production was allocated to foreign high-security printing companies. According to the report, the Nigerian Security Printing and Minting Plc (NSPM) was allocated an order for two billion banknotes, equivalent to about 35 percent of the total approved volume. The remaining 65 percent was assigned to foreign High Security Printers (HSPs), highlighting Nigeria’s continued dependence on overseas printing capacity to supplement domestic currency production.
Domestic and Foreign Production Allocation
By December 31, 2025, the NSPM had supplied 1.24 billion banknotes valued at N368.83 billion, representing 62 percent of its assigned production target. However, about 760.76 million notes, or 38 percent of the local mint’s allocation, were yet to be delivered by the end of the year. Foreign printing companies, meanwhile, completed the production and delivery of 2.21 billion banknotes in the N1,000, N500 and N200 denominations during the year.
The CBN also awarded foreign printers an additional contract for 1.5 billion banknotes in November 2025. Production of the supplementary order was still ongoing as of December 31. Combined, at least 3.45 billion banknotes had been delivered by the end of 2025, representing roughly 60 percent of the total volume approved by the CBN. The balance was still expected from the NSPM and foreign printers under the additional production contract.
Cash Demand Persists Despite Digital Growth
The expanded currency production programme underscores the continued importance of cash in Nigeria’s economy, even as mobile transfers, digital banking and electronic payment channels become increasingly popular. The additional banknotes are expected to help replace damaged and worn-out currency, satisfy higher cash demand during peak periods and ensure commercial banks maintain adequate cash supplies for customers across the country.
The figures also highlight a persistent challenge in Nigeria’s currency management system, with the country still relying considerably on foreign printers to meet its banknote production requirements. The increased printing allocation therefore reflects both the need to maintain sufficient legal tender in circulation and the challenge of balancing cash availability with the CBN’s broader push towards a more digital financial system.
