The study critically investigated the dynamics of growth and growth implication of money supply in Nigeria between 1985–2013. The Ordinary Least Square (OLS) multiple regression method were used to investigate the relationship between money supply and some selected macroeconomics variables such as the gross domestic product, inflation rate, budget deficit and government expenditure in the study. The study found a direct and significant relationship between money supply and economic growth. The same relationship holds for the budget deficit and inflation while government expenditure was not significant. It was also discovered that a 1 percent increase in the level of money supply will increase the volume of the gross domestic product by about 73 percent. The study thus recommended that the monetary authority should look into the transmission mechanism of money supply in other to determine its lagged effect on the output growth.