The House of Representatives has directed the Central Bank of Nigeria (CBN) to investigate the ongoing shortage of Naira notes in commercial banks, which is causing significant hardship for Nigerians. This demand was made in response to a motion of urgent public importance presented by Hon. Uguru Emmanuel (APC) from Ebonyi State.
The lawmakers urged the apex bank to immediately address the naira shortage and take action against commercial banks if they are not responsible for the crisis. Hon. Uguru emphasized that consumer spending and business investment are key drivers of economic growth, and the shortage of cash in commercial banks is severely impacting individuals and the national economy.
The CBN had issued a policy on December 21, 2022, setting cash withdrawal limits of N500,000 for individuals and N5,000,000 for corporate entities. However, Hon. Uguru noted that commercial banks are disregarding this policy, with some unable to provide even N50,000 to current account holders.
The cash crunch has become a major obstacle to economic activity, with entrepreneurs facing long queues at banks and sometimes spending entire days just to withdraw small amounts, often leaving empty-handed. Many Nigerians, particularly in rural areas without access to Point of Sale (POS) systems, are left in desperate situations, unable to purchase necessities or pay for medical care.
Hon. Uguru warned that the continued cash shortages could lead to further frustration for individuals and businesses, exacerbating the ongoing hardship, especially as the holiday season approaches. The House has mandated its Committee on Banking Regulations to investigate the situation and report back within a week.
