Nigeria’s Central Bank Governor, Godwin Emefiele has announced the apex bank is planning to reduce the volume of N500 and N1000 notes in circulation “over time”.

The governor made this known in his briefing to the media at the monetary policy communique held on November 22nd, 2022.

He was responding to questions about the ease of counterfeiting one thousand naira notes and if there are plans to reduce the volumes.

Mr. Emefiele claimed the effort is aimed at curbing the inflation rate which he partly blamed on the higher-denominated naira notes.

What Emefiele is saying:

He started by using the UK as an example; “In the UK they have a denomination in 50 pounds but the most spent denomination is 20 pounds. Nobody spends 50 pounds. If you go around carrying 50 pounds in the UK they will suspect sic report you in fact.”

And then compared this with Nigeria… “The reverse is what is happening in Nigeria. Nigerians want to carry N500 and N1000. And in fact, we are beginning to think that increasing the high denomination is also part of what is fueling inflation. So in fact, yes we will launch N200, N500, and N1000 over time we will reduce the volume of N500 and N1000 in circulation. Let people carry N50 around. “

Electronic banking is the alternative – “if you want to do high-value transactions, embrace online, embrace our agency program, embrace our mobile banking program, that is what you need”
Who this will affect: If the central bank pushes with this policy as Emefiele alluded to, it is likely to affect a number of people in the economy.

Businesses that rely heavily on cash will be severely affected as they will need to carry a larger volume of smaller-denominated notes to facilitate transactions.

On the flip side, this will favour electronic banking as the policy will push for more online transactions.

Politicians who are mostly associated with cash-based transactions, especially during elections will need to use smaller denominations or find other alternatives for funding cash-based election expenses.

This will also affect party goers who have fond of spraying money.

Optics: Mr. Emefiele’s comment is bound to trigger another round of commentary among economists and analysts who often consider some of his off-the-cuff remarks as detrimental to the standing of the economy.

Mr. Emefiele also spoke in support of contactless banking which will resonate well with FinTech companies who have invested heavily in this sector.

[url=https://www.google.com/amp/s/nairametrics.com/2022/11/22/breaking-cbn-to-reduce-the-volume-of-n500-n1000-in-circulation/%3famp=1]|SOURCE| [/url]

He should also extend his reduction exercise towards other denominations... N10 to N200 are means of exchange, too.

fergie001:



|SOURCE|

Good one

The CBN should not release anything close to ₦1,000,000,000,000. ₦600,000,000,000 is okay

chariisGRACE:
He should also extend his reduction exercise towards other denominations... N10 to N200 are means of exchange, too.

₦200 is part of the money

More Inflation loading.....

[img]https://giffiles./216/216347.gif[/img]

This will affect my business.

Good so that when Thief thiefnubuu want to release looted funds for campaign it won't hide

miss placed piority
useless policy from a useless government

Ooohhh I don suffer

So 1k notes will be only for senators and hon. Members and other criminals politicians

Incompetent people at the helm of affairs.

Una reduce am or not, e no consign me.

So if I wan carry 1 million, I go dey pack am with 200 OR 100 naira notes?

Na wao


Read passages of 100 to 150words without making mistakes. Can you do sound record with your phone. Is the idea of 5$ to 8$ per hour ok with you. To get more details on this. good a passive way you can earn with your reading skills send ur interest
To this number
Zero eight zero five two four one nine four thirty

Buhari government is the only government I saw cluelessness walking pure naked with so much pride.

Now the UK pounds this clown of CBN governor is comparing to worthless Naira of Nigeria are the same in value and worth shey?

How many people can used online banking even among learned old people they find it hard to. When these fools talks and make implementations you tend to wonder where they used in reasoning,if at all is their head or anus and you see why Buhari government is the worst ever government in the history of mankind.

This CBN guy wants to deal with vote buyers seriously

Sounds good.
But i know that the cbn gov is a monumental disaster with zero IQ just like other cabinet members that make up this evil administration.

Hardship looms Just as fuel scarcity is looming,

I really see sense in wat he his saying ...but I just hope it works ...

I See

Pwettylinda:


Good so that when Thief thiefnubuu want to release looted funds for campaign it won't hide

Abeg na which pump you use for ya yansh?

If only Sanusi was let to complete his Coins policy and Cashless policy

Nice

Bigbashiru, this what you have been saying since, seems like the cbn governor and the government are now thinking through.

Operation reduce inflation.

This also means CBDC and internet banking useage will increase, counterfeiting will reduce.

Kudos to Buhari and the CBN governor.


They should start tackling bdc and enacting anti money laundering laws now

Pwettylinda:


Good so that when Thief thiefnubuu want to release looted funds for campaign it won't hide

You gat nice ass

D kind money wey dey go around now ehn.... Even d smell alone can make u vomit... Na Abuja people go understand

Some people have printing machine, how can only one person buried millions of note instead of burying it spend the money on community empower your friends and family.

CBN suddenly woke up

Hmmm

I have 5 Naira note in my house now but can't buy anything with it

Becos of Tinubu

Nna mehn

Cashless policy comes to mind

Nigerian Central Bank needs to stop the printing of 500 and 1000 naira note and see how to make the currency stronger and also reduce inflation so that the lesser currencies will have purchasing power

No matter how fewer those notes are printed, they will still not have any purchasing power than it does except inflation is tackled

So na to pack bales of #100 notes give urchins for the shaky Bala blo

Hmm