Emefiele: We’ve collected N1.9trn old naira notes, N500bn more to go
In what can be regarded as bowing to the wishes of Nigerians and listening to the voice of wisdom, President Muhammadu Buhari has approved the request of Central Bank of Nigeria (CBN) for the extension of the deadline for swapping of old Naira notes of N200, N500 and N1,000 to the redesigned ones.
The President also approved a seven-day grace period, beginning on February 10 to February 17, 2023 to enable Nigerians to deposit their old notes at the CBN after the February deadline when the old currency would have ceased to be Legal Tender in the country
Buhari gave the approval on Sunday during a meeting with the CBN Governor Godwin Emefiele, in his country home in Daura, Katsina State.
Briefing journalists after the meeting with the President in Daura, Emefiele stated that 75 percent of the N2.7 trillion held outside the banking system has been recovered.
He added that N1.7trillion old naira notes have been returned to banks so far as about N500billion still outside the banking system.
Emefiele also thanked President Buhari, who he described as an “incorruptible leader”, for approving the naira redesign programme.
He said, “I’ve just ended a meeting with Mr President. The purpose of the meeting is to provide Mr President with updates about the implementation status of the CBN currency redesign program currently going on across the Federation.
“First, I’d like to continue to thank Mr President for giving the CBN the approval to embark on this ambitious program because, like I had said in the past, the CBN hasn’t had the opportunity to embark on such currency redesign program in last 19 years and indeed, let me emphasize that only an incorruptible leader of the President’s stature can give such approval to the CBN.
“From the onset (outset) of this currency redesign programme, we made it clear that for 19 years, the CBN hasn’t been able to conduct this important aspect of its mandate, whereas this should normally have been be done within a 5-8 years window.
“Ladies and gentlemen, from the onset of this currency redesign programme, we made it clear that for 19 years the CBN hasn’t been able to conduct this important aspect of its mandate, whereas they should normally have been done within a 5–8-year window.
“Our aim mainly is to make our monetary policy decisions more applicable and as you can see, we started to see inflation trending downwards and exchange relatively stable.”
A statement made available on Sunday further quoted Emefiele as saying that: “Available data at the CBN has shown that in 2015, Currency in Circulation was only N1.4 trillion.
As at October 2022, currency in circulation had risen to N3.23 trillion; out of which only N500 billion was within the Banking Industry and N2.7 trillion held permanently in people’s homes.
“Ordinarily, when CBN releases currency into circulation, it is meant to be used and after effluxion of time, it returns to the CBN thereby keeping the volume of currency in circulation under the firm control of the CBN.
“So far and since the commencement of this program, we have collected about N1.9 trillion; leaving us with about N900 billion.”
He said to achieve effective distribution of the new currency, the CBN has took a number of steps.
“We held several meetings with our Deposit Money Banks (DMBs) arid provided them with Guidance· Notes on processes they must adopt in the collection of old notes and distribution of the New Notes to all Nigerians. These includes specific directives to DMBs to load new notes into their ATMs nationwide to ensure an equitable/transparent mechanism for the distribution of the new notes to all Nigerians,” he said.
“We commenced a nationwide sensitization through the Print and electronic media to create an awareness on the redesigned notes to Nigerians including collaboration with the National Orientation agency to reach all Nigerians across multiple channels.
“We deployed 30,000 Super Agents nationwide to assist in our Cash Swap initiative in the hinterlands, rural areas, and regions underserved by banks in the Country to ensure that the weak and vulnerable ones amongst us can swap/ exchange their old notes.
“We deployed all our staff, particularly the Assistant Directors, Deputy Directors and Directors· in Abuja to proceed to all CBN branches Nationwide to join the mass mobilization campaign and monitoring programs, working with the Deposit Money Banks , agents and our Branch controllers across the 36 states of the Federation. This is meant to ensure compliance with all our guidelines already issued for smooth implementation of the program. Although we have received some reports of breaches by some bank branches, we have agreed with Executive Chairmen of the EFCC and ICPC to assist us, by sending their staff to all CBN and DMB branches nationwide to join in monitoring the implementation of these guidelines. The aim is to ensure compliance with the laid down guidelines.
“We are happy that so far, the exercise has achieved a success rate of over 75 percent of the N2.7 trillion held outside the banking system. Nigerians in the rural areas, villages, the aged and vulnerable have had the opportunity to swap their old notes; leveraging the Agent Naira Swap initiative as well as the CBN Senior staff nationwide sensitization team exercise.
“Aside from those holding illicit/ stolen Naira in their homes for speculative purposes, we do aim to give all Nigerians that have Naira legitimately earned and trapped, the opportunity to deposit their legitimately trapped monies at the CBN for exchange.”
