Politics
Breaking: Fresh Wave Of Naira Shortages Hits Kano, Sokoto, Edo, And Beyond
Breaking: Fresh Wave Of Naira Shortages Hits Kano, Sokoto, Edo, And Beyond....KINDLY READ THE FULL STORY HERE▶

Despite recent assurances from the Central Bank of Nigeria regarding the ample circulation of the naira, reports of scarcity have surfaced nationwide. A survey conducted by The Nivo News on Wednesday confirmed shortages in various parts of Abuja, Lagos, Kano, Kwara, Gombe, Edo, Sokoto, and Ekiti States. Bank customers and Point of Sale operators expressed concerns about the increasing difficulty in accessing cash for their economic activities.
This scarcity comes weeks after the Central Bank reaffirmed the availability of currency notes in the market and discouraged panic withdrawals. The apex bank, in a circular titled ‘All Banknotes Issued by the CBN Remain Legal Tender,’ emphasized that every banknote issued by the CBN remains legal tender and should not be rejected.
The public’s concerns about the legality of old naira notes are linked to the naira redesign policy announced by the former CBN governor, Godwin Emefiele, in October 2022. The plan aimed to redesign certain denominations and reduce currency circulation, with the old versions losing legal status by January 31, 2023. However, the Supreme Court invalidated the policy in March 2023, extending the validity of the notes until December 2023.
Recently, the CBN announced plans to extend the validity of the old N200, N500, and N1,000 notes indefinitely, filing an application before the Supreme Court for this extension.
Despite the reported increase in currency circulation by 3.75% to N2.76tn in September 2023, cash scarcity is resurfacing, particularly impacting Lagos. Some banks are reportedly dispensing only N5,000 via ATMs to non-customers. Bankers and customers attribute this scarcity to weak supply from the CBN, causing inconvenience and suffering for the public.
The scarcity is not uniform across all banks, with variations observed in different states. Customers in Abuja, Kano, Kwara, Sokoto, and Ekiti have reported difficulties withdrawing cash, while some banks in Lagos and Isolo branches have not experienced shortages.
In Gombe and Edo States, Point of Sale operators lamented the resurging naira scarcity, causing them to rely on traders for cash. Some POS operators have increased charges due to the scarcity. The Association of Mobile Money and Bank Agents in Nigeria called for increased alternatives to cash to address the issue effectively.
Despite these challenges, the President of the Bank Customers Association of Nigeria and the National President of the Association of Mobile Money and Bank Agents in Nigeria downplayed reports of a cash squeeze, suggesting the need to investigate underlying causes and explore additional payment channels.
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