Why We Didn’t ‘Consult’, CBN Replies Finance Minister Over Naira Notes Redesign

The Central Bank of Nigeria (CBN) has said it followed due process and got President Buhari’s Approval to redesign and reissue the naira.

Spokesman of the apex bank, Osita Nwanisobi, disclosed this while responding to the Minister of Finance, Budget and National Planning, Zainab Ahmed, who said her ministry was not carried along.

CBN Governor, Godwin Emefiele, had announced plans to redesign the naira, particularly the N200, N500 and N1,000.

Osita Nwanisobi said the management of the CBN, in line with provisions of section 2(b), section 18(a), and section 19(a)(b) of the CBN Act 2007, doesn’t need to consult anyone, after duly seeking and obtaining the approval of President Muhammadu Buhari in writing to redesign, produce, release and circulate new series of N200, N500, and N1,000 banknotes.

Urging Nigerians to support the currency redesign project, he said it was in the overall interest of Nigerians, reiterating that some persons were hoarding significant sums of banknotes outside the vaults of commercial banks.

Furthermore, he noted that currency management in the country had faced several escalating challenges which threatened the integrity of the currency, the CBN, and the country.

Nwanisobi added that every top-rate Central Bank was committed to safeguarding the integrity of the local legal tender, the efficiency of its supply, as well as its efficacy in the conduct of monetary policy.

Nwanisobi explained that the CBN had even tarried for too long considering that it had to wait 20 years to carry out a redesign, whereas the standard practice globally was for central banks to redesign, produce and circulate new local legal tender every five to eight years.