Central Bank of Nigeria (CBN) has called on the public to deposit cash holdings in the denomination of N200, N500 and N1000 notes into their respective commercial banks before Jan. 31.
This call was made by Mr. Godwin Okafor, Branch Controller, Central Bank of Nigeria(CBN) ,Asaba branch during the Apex bank’s visit to the Main market, Warri South Local Government Area of Delta State, he said that the visit was to sensitise the stakeholders including traders on the currency redesign by the Federal Government.
Mr. Okafor disclosed that the current currency being withdrawn from circulation would ceased to be a legal tender after Jan. 31 hence the need for them to deposit the old ones before the expiration date.
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He urged the people to embrace the new currency notes saying that it had numerous benefits to the nation’s economy
According to Mr. Okafor, “this policy will help to control inflation as the exercise will bring the hoarded currency into the banking system thereby making money policy more effective. It will help in increasing financial inclusion, moving toward a more cashless economy and ensuring greater formalisation of the Nigeria economy.”
,Mr. Okafor added, “it will also help in the design and implementation of the Monetary Policy as well as fight against corruption in the movement of higher denomination from the banking system. The redesigned currency has greater durability, attractiveness and rich heritage.”
The branch controller urged the public to deposit the currency adding that there was no limit to how much a customer could deposit between now and Jan. 31.
He also advised the people to accept, use and respect the redesigned currency while exploring other payment channels such as eNaira, USSD, electronic transfer among others.
Mr. Okafor further disclosed that currency management in Nigeria had faced some challenges in recent time with attendant consequences on the integrity of the Apex bank.
He said that statistics showed that about N2.72 trillion out of the N3.26 trillion currency in circulation as at June 2022 was outside the Vault of the commercial banks across the country, adding, “they are supposedly held by members of the public.”
Mr. Okafor explained that the global best practices was for the central banks to redesign, produce and circulate new local legal tender between five and eight years adding that CBN had not redesigned Naira notes for almost 19 years.
He spoke further, “it was on the basis of this trends, problems, facts and benefits and in line with the CBN Act 2007 that it sought the approval of President Muhammadu Buhari to redesign, produced and circulate the N200, N500 and N1000 notes.”
Speaking on the sideline, Mr. Sunny Daibo who led the Apex bank team to Warri said that they had visited some banks’ Automated Teller Machines (ATM’s)to accertain if they were dispensing the redesigned currency.
Mr. Daibo who also reoresented the Governor of the CBN, Mr Godwin Emefiele urged the people to embrace internet banking transaction noting that one of the objectives of the Apex bank was to ensure cashless economy.
According to Mr. Daibo, “the banks said that they are yet to fill their ATM with the redesigned currency. They said that they will start doing it by Monday. When people get to the banks, they should insist on collecting the new notes. They should not collect the old notes again.”
