The Central Bank of Nigeria’s (CBN) move to redesign and reissue the N200, N500, and N1000 notes have been welcomed with diverse reactions by the citizens of Nigeria.
This move by the apex bank has caused quite a controversy between analysts, experts, and stakeholders as some individuals think it is commendable and a few others believe that this is happening at the wrong time.
Amongst those that welcomed the idea was the Secretary General of the Conference of Nigeria Political Parties (CNPP), Chief Willy Ezugwu, he commended the actions of the CBN, saying only politicians who have plans to buy votes and ill-motivated individuals would hate CBN’s action.
Similarly, the former President of Governing Council of the Association of Corporate Treasures of Nigeria (ACTN), Mr. Zeal Akaraiwe said that the decision of the CBN was the answer needed to wade in huge amounts of cash into the banking system while enhancing the effectiveness of CBN’s Monetary policies.
The Executive Chairman of the Economic and Financial Crimes Commission (EFCC), Abdulrasheed Bawa, described the plan by CBN to redesign some of the Naira notes as a welcome development.
However, among the few others who criticized the move was Economic expert, Emeka Okengu, who argued that the timing was wrong.
With respect to the CBN’s claim of curbing currency counterfeiting as one of its reason, Okengu said counterfeiting doesn’t stop by just changing the currency; it can only be addressed by tracking and arresting those involved.
Similarly, security expert, Senator Iroegbu, questioning the decision said, from afar, the reason for the change seems genuine but a deeper look makes the whole decision unbelievable and staged, adding that this would only affect the poor masses.
Also, a political economist, Mr. Adakole Ijogi disclosed that the timing of the apex bank was wrong as it would disrupt the economy, and would put unnecessary pressure on businesses as well as affect the forthcoming 2023 general election.
In addition, the Executive Director of the Civil Society Legislative Advocacy Centre (CSLAC), Auwal Musa said that the plan to redesign the Naira notes is not deemed an economic priority considering the present economic situation the country is facing, adding that, the CBN ought to channel that energy into reviving the economy.
He said “Firstly, the CBN’s decision to redesign and reissue new 200, 500, and 1000 notes is not an economic priority and barely a solution to addressing Nigeria’s poor monetary policy challenges and growing economic woes.
“Especially at a time when the country is grappling with huge fiscal deficits, a free fall of the naira, soaring inflation rates, multiple forex rates, and rising borrowing costs. The reasons for this decision seem no different from those given for the forex demand management strategy which resulted in a non-satisfactory conclusion as the artificially low exchange rate failed to be as reflective of the market as possible to improve supply, but this time it only threatens damning economic consequences for Nigerians.”