Banks reduced their deposits with the Central Bank of Nigeria through the Standing Deposit Facility by N941.85bn to N3.76tn on October 7, 2026, marking the largest single-day decline since September 30.

According to CBN data, SDF placements fell from N4.70tn on October 6 to N3.76tn the following day.

The sharp drop followed a rise in banks’ overnight deposits with the apex bank to N4.86tn on October 5, amid elevated SDF placements recorded throughout September.

The movement came after the Monetary Policy Committee cut the Monetary Policy Rate by 350 basis points to 23 per cent on September 22, while retaining key reserve requirements.

The latest reduction pushed banks’ SDF deposits below the N4tn mark, after the balance had remained above that level for most of the recent period.

SDF placements stood at N4.86tn on October 5 before declining to N4.70tn on October 6.

The balance then dropped by N941.85bn to N3.76tn on October 7.

The latest decline represents the largest single-day reduction since September 30, when SDF deposits fell from N6.28tn on September 29 to N4.55tn.

The SDF is an overnight, non-collateralised liquidity-absorption facility used by central banks to manage excess liquidity in the banking system.