We‘ll Revisit Naira Redesign Policy, Says Tinubu
President Bola Tinubu has promised to revisit the naira redesign policy of the Central Bank of Nigeria (CBN). Tinubu, who said this in his inaugural speech in Abuja on Monday, said that his administration would treat both the old and the new naira notes as legal tender.
In October 2022, Godwin Emefiele, CBN governor, announced the apex bank’s plan to redesign and circulate a new series of three banknotes out of the existing eight. The redesigned N200, N500, and N1000 notes were due for circulation on December 15, 2022.
The programme was criticised due to some lacuna amidst claims that it was politically motivated and targeted at Tinubu’s aspiration to lead the country. Meanwhile, the CBN failed to achieve its target following the scarcity of the new notes which triggered social unrest across the nation.
Speaking at his inauguration, Tinubu said the CBN harshly applied the policy, given the number of unbanked Nigerians.
“Whatever merits it had in concept, the currency swap was too harshly applied by the CBN,” he said. Tinubu said that the country’s monetary policy needed thorough housecleaning. He urged the CBN to work toward a unified exchange rate.
“This will direct funds away from arbitrage into meaningful investment in the plant, equipment, and jobs that power the real economy. The interest rate needs to be reduced to increase investment and consumer purchasing in ways that sustain the economy,” he said.
#We ‘ll Revisit Naira Redesign Policy, Says Tinubu Naira Steadies as Banks Issue Update on FX Purchase