Kidnapping, Other Vices to Reduce With New Naira Notes, CBN Claims

Despite being on the hot seat to extend the deadline date for the exchange of old naira notes to new notes, the Central Bank of Nigeria (CBN) has claimed that the new naira notes reduce kidnapping and ransom payment in the country.

While briefing journalists on the resolutions of the Monetary Policy Committee (MPC) after presiding over its two-day meeting in Abuja, the CBN governor said “kidnapping and ransom-taking have reduced since the roll-out of the redesigned naira notes on December 15, 2022.”

Investors King understands that the phasing out of the old notes will make it difficult for kidnappers and ransom collectors to deposit a huge amount of money directly into their accounts and will make ransom asking difficult as the new notes are not fully in circulation in high amounts yet.

CBN’s claims are coming the day after the Senate asked them to extend its deadline date from January 31, 2023 to June 30, 2023.

On the Senate’s request, the CBN governor said the 100 days originally planned was enough for people to deposit their old naira notes into the banking system noting that the bank was making significant progress with the set deadline date.

“I do not have good news for those who want the date to be changed, N1.5 trillion of the old banknotes have been returned, hoping that it will get to N3 trillion this week.

“By last week we have seen about between N1.3 to N1.5 trillion in, we are hoping that as we get into this week, we will move closer to N3 trillion. If we get N3 trillion in and those who keep money decide to keep it at home, I am not going to force them to bring it out.”

Investors King reported yesterday that the House of Reps had summoned the commercial CEOs to explain the real situation surrounding the new naira notes and its availability.

The new naira notes were introduced into the economy on December 15, 2022.