In response to the growing concerns over reported shortages of naira notes in the country, the Central Bank of Nigeria (CBN) has stepped forward to address the situation, attributing it to heightened withdrawals by Deposit Money Banks (DMBs) and customer panic. The CBN’s Corporate Communications Department, along with CBN Governor Olayemi Michael Cardoso, has reassured the public that there is no actual shortage in currency supply and measures are in place to ensure sufficient cash flow for essential economic activities.
The central bank’s announcement comes as a direct response to the surge in significant cash withdrawals by financial institutions. CBN Governor Olayemi Michael Cardoso emphasized that the bank is actively managing the circulation of cash and has urged the public to refrain from panic withdrawals. The move is part of the CBN’s strategy to maintain stability in the financial system and prevent disruptions to the economy.
While acknowledging the concerns raised by the public, the CBN underscores that there is no need for alarm. The bank is working diligently to meet the demand for currency notes and has taken steps to address the increased withdrawals promptly. Governor Cardoso highlighted that the CBN is committed to ensuring the smooth functioning of the country’s financial system.
In addition to managing cash circulation, the CBN is encouraging the public to explore alternative payment methods to reduce dependence on physical cash. The adoption of digital payment systems and other electronic transactions is being promoted as a way to enhance efficiency in financial transactions while minimizing the pressure on the physical cash supply.
As part of its ongoing efforts, the CBN is collaborating with financial institutions to streamline operations and optimize the distribution of currency notes across the country. The central bank remains vigilant in monitoring the situation and will implement further measures as necessary to maintain a stable and resilient financial system.
The CBN’s proactive stance and assurance of ample currency supply aim to alleviate concerns among the public and underscore the central bank’s commitment to the economic well-being of Nigeria. As the country navigates through these challenges, the CBN remains dedicated to implementing strategies that foster financial stability and ensure the smooth functioning of the national economy.