Naira Redesigning: Nigerians Deposit N52bn In 2 Weeks

Naira Redesigning: Nigerians Deposit N52bn In 2 Weeksg In Benin Republic, Warns Banks

No less than N52 billion have been deposited in financial institutions across the country since the Central Bank of Nigeria (CBN) disclosed its plan to redesign some naira notes.

As reported on BizWatch Nigeria, the CBN had said that on Thursday, December 15, 2022, the redesigned N100, N200, N500, and N1,000 notes would be launched.

Why CBN is redesigning the naira notes

Noting that global best practise requires central banks to redesign their currencies every five to eight years, Governor Godwin Emefiele of the central bank revealed that more than N3 trillion in cash is in circulation.

Other reasons include;

  • Scarcity of clean and fit banknotes.
  • Hoarding of banknotes.
  • The alarming rates of counterfeited banknotes.

Citing the aforementioned reasons, Emefiele explained that the decision to redesign the naira notes will trigger the enablement of people to put their money into the banking system.

According to the CBN, bringing money outside the banking system into the banking system will leverage monetary policy to become more effective, such that inflation will be rightly combated.

While trillions of naira are still in circulation, a reliable source, who disclosed the N52 billion deposition in banks, stated that there are indications that the deposit sum may increase in the next few days.

Politicians, Bureau De Change (BDC) operators, businessmen, real estate financiers, traders, amongst others, were identified as the depositors.

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