The Central Bank of Nigeria (CBN) has announced measures to stop the trading of Naira notes, a practice that has become a growing problem across the country.
This announcement was made during the inaugural Stakeholders’ Conference of the Committee of Heads of Banks Operations (CHBO) held in Lagos.
Themed “Commoditization of Naira: The Way Forward,” the event brought together financial leaders to discuss solutions to this challenge.
Olayemi Cardoso, CBN Governor, represented by his Senior Special Adviser, Fatai Kareem, explained that treating the Naira as a commodity undermines its role as a medium of exchange.
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He noted that this practice impacts both the banking sector and the everyday lives of Nigerians who depend on the currency for transactions.
“The Naira is not just a currency; it reflects our national identity. Its stability is essential for the country’s economic development,” he said.
To tackle the issue, the CBN outlined several strategies, including:
– Educating the public on proper currency use
– Improving cash distribution systems to prevent scarcity
– Collaborating with law enforcement to enforce regulations
– Encouraging digital payment methods to reduce reliance on cash
Abraham Aziegbe, Chairman of the CHBO Executive Committee, attributed the problem to cash shortages over the past two years, which led to the trading of Naira at a premium for everyday transactions.
He emphasized the need for immediate action to restore trust in the financial system.
The CBN’s initiatives aim to ensure the Naira remains a stable and functional currency for all Nigerians.
