Naira

New Naira: Pressure High on CBN as Stakeholders Want Change of Deadline Date

The Central Bank of Nigeria (CBN) has been put under pressure to elongate the January 31 deadline set for the exchange of old naira notes to new naira notes.

As earlier stated by the CBN, the old naira notes will stop being a legal tender of the nation form January 31, 2023.

Investors King understands that stakeholders and Nigerians are piling up the pressure on the CBN to extend the deadline date set.

According to findings, it is gathered that bank managing directors are pushing to see the deadline date extended as the new currency is not well circulated as claimed by the CBN.

“It is true that the bank MDs are not comfortable with the fact that the new notes are not circulating the way they had anticipated, but they can’t publicly ask for an extension of the deadline as they were part of the decision to redesign the currency and withdraw the old notes from circulation.

“However, because of the failure of the CBN to supply enough new notes and the pressure this is putting on their banks, the managing directors are lobbying the apex bank to consider the extension of the deadline through the backdoor via the auspices of the Bankers’ Committee. It is a sensitive issue.”

Nigerians have also taken to social media to request for an extension as so many have posted that the banks are not giving out the new currency.

In the same vein, the Senate had earlier also requested that the date be shifted to June 30, 2023.

A point of order, orders of 41 and 51 from Senate Standing Rule raised by Senator Mohammed Ndume during  plenary on 28th December, 2022 made the senate to make the resolution.

“The timing need to be extended to allow every Nigerian play his/her own role. I support the motion that this withdrawal date be extended to June 30th 2023,” Senator Aliyu Wammako who seconded the motion said.

Meanwhile, a senior CBN executive has anonymously said the apex bank might fold to the pressure piled on them as he stated that a new date might considered during the CBN Monetary Policy Committee meeting coming up on Wednesday, January 25, 2023.

“It is clear that the CBN has not supplied sufficient new currency notes to the banks. Even many of us in the CBN have not seen the new notes. The absence of the CBN governor has also clouded the issue and that is why no statement has been made regarding the extension of the deadline.

“From the look of things, most certainly, a new deadline may be announced before the end of the month or during the MPC meeting coming up between January 24 and 25.”

However, the CBN had earlier in numerous occasions said they had pumped enough new notes into the economy and yesterday, posted via its official twitter handle that the January 31st deadline date still stands.

 

Chris Emenyonu

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Chris Emenyonu

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