The Central Bank of Nigeria (CBN) has attributed the reported cases of cash scarcity in some major cities across the country to the hoarding of banknotes by individuals whose identities remain unknown. The CBN, however, assured the public that it is addressing the problem.
Mrs. Hakama Sidi Ali, the Bank’s Acting Director in charge of Corporate Communications, stated during a press conference in Abuja yesterday that the CBN was closely monitoring the situation. She reassured the public that the CBN had released sufficient cash to its branches nationwide for distribution to Deposit Money Banks (DMBs).
In order to give further clarification on the cases of hoarding, Ali explained that the currency in circulation was N1 trillion as of February 2023. However, this figure had surged to over N3.4 trillion within the past two days, suggesting that there was sufficient cash supply from the CBN. The issue, according to Ali, lies in the fact that the cash is in the hands of individuals who are apprehensive due to their previous experiences.
Expressing empathy towards Nigerians for their past and present ordeals, Ali emphasized that the CBN does possess enough cash to meet the day-to-day transaction needs of the population. She appealed to Nigerians to be patient while the CBN takes the necessary steps to ensure the availability of cash, especially during the upcoming yuletide season and beyond.
Additionally, Ali urged Nigerians to continue accepting all Naira banknotes for their daily transactions. She reiterated the Bank’s earlier call for the public to embrace alternative modes of payment, such as e-channels, to reduce the pressure on the use of physical cash.
The CBN’s assurance and call for patience and adoption of electronic payment methods come as measures to alleviate the cash scarcity issues currently affecting major cities across Nigeria.
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