Market News

THE Central Bank of Nigeria (CBN) has explained that limited time to tackle the problems of counterfeiting and hoarding of currency was the reason for the simple appearance of the redesigned naira notes.

The Director of Currency Operations, CBN, Ahmed Umar, made this known at a workshop for business editors and members of the Finance Correspondents Association of Nigeria (FICAN) in Port Harcourt, Rivers State, on Tuesday, November 29.

The director, who was represented by the Head of Policy Development Division, Currency Operation Department of the apex bank, Amina Halidu-Giwa, noted that contrary to the views of many Nigerians, the CBN did not just change the colour of the naira notes.

“We want to solve a problem and we have limited time to do that,” he said.

“Redesigning is about change of colour or size. The ink itself is a security feature.”

Umar further explained that redesign of the naira notes was long overdue as the N1000 notes had been in existence for 17 years, N500 for 21 years and N200 for 22 years.

He also explained that contrary to rumour that the CBN would print other denominations apart from the redesigned N1000, N500 and N200 notes, no other denomination would be printed.

The CBN official added that the naira redesign would ensure that many more Nigerians are included in the financial system.

Umar said the redesigning of the currency will discourage excessive cash carrying and encourage electronic transactions.

“Naira redesign will also help in reducing cash management expenditures, give visibility and control and would help the bank to know the volume of money in circulation,” Umar said.

”It will also help in fighting counterfeiting and money laundering.”

Last week, President Muhammadu Buhari unveiled the newly redesigned naira notes.

However, many Nigerians expressed dissatisfaction over the quality and appearance of the new notes. 

Some jokingly described the new notes as “coloured” and “bleached”.