The Supreme Court on Wednesday adjourned judgement in the new naira policy suit to March 3, 2023.
With the apex court’s decision, Nigerians, especially consumer and business groups as well as professional and trade unions looking up to the apex court for a favourable judgment (today) that they expect will ameliorate their suffering, will have to wait.
The Supreme Court had on February 8 restrained the Federal Government from implementing the February 10 deadline for swapping the old naira notes with new ones, but the Central Bank of Nigeria refused to shift the deadline.
The injunction was a sequel to a suit filed by Zamfara, Kogi and Kaduna state governments against the Attorney-General of the Federation on February 3.
Other states including Lagos, Ondo, Ekiti, Kano, Sokoto, Ogun and Cross River have also joined the suit as co-plaintiffs.
While taking arguments on Wednesday, counsel for the Federal Government, Kanu Agabi, said the Supreme Court held that all reliefs are rooted in section 20 of the CBN Act.
He argued that the apex court has no jurisdiction to hear the suit as the action cannot commence with an Originating Summons.
He also contended that the plaintiffs did not deem it fit to the CBN to court as a respondent despite making reference to the apex bank 32 times in their originating summons and despite the fact that seven of the reliefs sought relate to the CBN.
He asserted that Nigerians were already turning down the old notes way the President’s directive.
Agabi also asserted that by asking Nigerians to deposit their old naira at the CBN designated centres, the president was abiding by the court order and that Buhari is empowered under the constitution to veto any legislation.
The Osun State, Senator Ademola Adeleke urges the Central Bank of Nigeria, CBN, to sanction financial institutions involved in the hoarding of new naira notes.
Addressing CBN officials in his office, Governor Adeleke decried the increasing shortage of the new notes, explaining that, he has been deploying state networks to douse tension and ensure the safety of banks and the CBN state office.
The Governor said his intervention in the last few weeks had ensured that Osun state is saved from increasing conflict across some South Western states.
He however expressed displeasure over the current hardship citizens are facing, adding that, his government was ready to partner with the CBN for the currency swap.
Governor Adeleke advised CBN to act fast as the situation is getting out of hand, informing the team that, the state is sacrificing a lot to maintain peace.
Responding, the CBN state Director, Mrs Oluyemi Adeyemi commended the Governor for his proactive steps that have saved the state from naira-related riots.
Mrs Adeyemi said the apex bank is working effortlessly, to make the new notes available and has issued queries to some commercial banks who hoarded the new naira notes.
The meeting set up a monitoring mechanism between the state government and the CBN to ensure allocated new notes get to the populace.
Commercial banks in some parts of Ibadan have started paying the old N200 notes across the counter.
Radio Nigeria correspondent who visited some banks around the Dugbe axis of the metropolis observed that ATMs were not dispensing although people loitered around them.
A customer, Mr John Akinshola, said he was given the sum of N5000 in 200 cash over the counter.
Another respondent, Mrs Sharon Emeka said there had been progress in the cash swap policy due to the enlightenment of accredited PoS agents, while a customer, Mr. Femi Eriife said he was able to exchange his old naira notes without charges.
At Dugbe, many residents complained of the inability to exchange their notes due to the unavailability of the new notes, with some bank customers expressing concerns over the activities of persons who sell the newly redesigned banknotes.
Meanwhile, at the Central Bank Ibadan, people were sighted at the entrance wanting to deposit the old N500 and N1000 in line with the directive by the apex bank governor.
Fighting erupted in some areas on the popular Lagos-Ikorodu expressway in Lagos State over the scarcity of the new naira notes and the hardship the policy has thrown Nigerians.
On Friday morning, it was gathered that some suspected louts in Mile 12, Ketu and Ojota areas on the expressway, took to the road attacking commuters and creating chaos.
A driver, attached to one of the cab-hailing firms operating in the state who does not want his name in print over fears of harassment, said he had to turn into one of the streets due to the chaos.
Social media users who shared details of the ongoing fighting in the area, alleged they could hear sounds of gunshots.
Meanwhile, the Lagos State Police Public Relations Officer, Benjamin Hundeyin, has confirmed the unrest happening in the Mile 12 area of Lagos State.
He made this known via his Twitter handle on Friday.
Responding to a tweet asking the PPRO to confirm the rumour, Hundeyin replied, “ It is true. Our men are there. Reinforcement units have been deployed. Stay safe out there as we closely monitor and manage the situation.”
There was pandemonium on Wednesday morning around the Eleyele, Gbopa, Ologuneru, Apete, Sango, and Poly road axis of Ibadan as transporters protested the scarcity of cash.
Witnesses at the scenes told Radio Nigeria that the transporters were obstructing the free flow of vehicular and pedestrian movements around the areas.
The transporters were reported to have expressed displeasure at the non-availability of cash and the rejection of the old 200, 500 and 1,000 naira notes by passengers and some filling stations.
Meanwhile, when our correspondent contacted the Police Public Relations Officer, PPRO in Oyo State, Mr Adewale Osifeso, he said officers had been deployed to the scenes to restore order.
By Olaolu Fawole, Anjola Agboola, Tawakalt Famiyiwa
Scarcity of new naira notes of 200, 500 and 1000 has been biting harder in Nigeria, since the introduction of the redesigned naira notes by the Central Bank of Nigeria, CBN.
Radio Nigeria Correspondents, who monitored the situation in Ibadan, on Monday, said withdrawal from commercial banks’ ATMs had become tug of war, as customers struggled to be alloted numbers in a piece of paper, before joining the long queues to withdraw money.
At few minutes past ten in the morning, the last alloted number at a commercial bank at Dugbe, Ibadan was 275, while the person currently using the ATM had number 25.
At another commercial bank visited, the only functional ATM stopped dispensing money after only being able to dispense money to eight people out of over sixty people alloted numbers.
Also, bank customers who wanted to transact other businesses, such as withdrawal across the counter, electronic money transfer, deposits and opening of bank accounts, transfers and the likes are not left out in the latest development.
Bank officials had to bring forms outside the premises to customers who wanted to transact businesses inside the banking hall.
However, the withdrawal limit across the counter is two thousand naira only per individual.
The reason for this, according to one of the bank officials was that the banking halls were already overcrowded.
The concern of Nigerians is for commercial banks, to allow them have access to their accounts, as it is just four days to the deadline given by CBN that the old naira notes would cease to be a legal tender and the country is still experiencing scarcity of the new notes that are expected to take over fully by February 11, 2023.
The long queues of customers who had waited endlessly at the ATM points for new naira notes had vanished following the protest that rocked some parts of Ibadan, Oyo State on Friday over lingering fuel and naira scarcity.
Customers had daily waited at the ATM points hoping to withdraw money but to no avail.
However many banks were deserted as customers left the ATM for their safety.
Only a few customers were however sighted waiting by the ATM with the hope that the machine could meet their long-awaited desire of cashing the new naira notes.
Hopeful Customers
Since the beginning of the week, bank customers had been besieging the Automated Teller Machines, ATM and had been keeping vigils or resuming as early as five O’clock in the morning for the withdrawal of new naira notes.
Nigerians are beginning to lose patience over their continued struggle at the filling stations and Automated Teller Machines, ATM with no availability of either fuel or the new naira notes.
Some aggrieved people who stormed the premises of Radio Nigeria Ibadan on Wednesday expressed bitterness that they could not get physical cash from the ATM despite their persistent queue at the machines while they also had to observe vigils at the filling stations.
They also decried the situation whereby the ATM would only dispense two thousand naira out of their money and twenty thousand naira maximum depending on the bank.
President, Joint Human Rights Group in Oyo State, Mr Martin Omobude in this video said the masses could no longer bear the pains and called on government to review its economic policy to save the masses from suffering.
The CBN had earlier given January 31 as the deadline when the old naira note ceases to be a legal tender but later extended the date till February 10 following outcry and complaints from Nigerians.
Had it been money could talk, perhaps the new naira notes would have voiced to the public what exactly is the true picture of its non-availability to the people who spend their precious time desiring to withdraw the new notes at the Automated Teller Machines, ATM every day.
Since its official launch on the 15th of December, 2022, by the Central Bank of Nigeria, CBN, some Nigerians have neither seen nor touched the redesigned money other than just hearing about it.
Already, some traders are rejecting the old currencies for fear of still having them in their custody by Tuesday, 31st January, the deadline given by the CBN.
Old naira notes
A popular shopping mall in Ibadan which hitherto had notified its customers that it would stop collecting the old naira notes by Friday, 27th January 2023 had extended it till, Tuesday, 31st January.
Boldly inscribed on the entrants and wall of a business organization is an inscription also notifying its customers on the date for the rejection of the old naira notes.
Money as commonly referred to is a servant to be sent on errands.
However, it is seemingly difficult now to get this servant on an errand by those who daily lay wait on it.
Not that there is no money in individual accounts, but accessing it is the great problem making life difficult for the masses as their purchasing power is being taken from them .
Are the banks not having enough of the new notes or are they reserving it for certain categories of people? Numerous are the questions on the lips of the common man.
Another interesting dimension is the fact that while the new naira notes are not yet in full circulation, it is easily seen in bales of mint in the hands of currency hawkers who sell the money to guests who lavishly spray money at parties. So, where and how did they get the redesigned naira notes?
Is there any other place or major financial institution that dispenses money to individuals or corporate bodies other than the banks?
For some people, this among other factors might just be one of the reasons customers find it difficult to get new notes.
It was also discovered in one of the commercial banks in Ibadan that customers in the banking hall sought the assistance of some security officers who would collect their ATM cards and take them to the machine, where many other customers had been waiting tirelessly, to cash the money.
“Such would definitely not be without a cost,” an anonymous customer said.
But, Feelers from one of the commercial banks revealed that “the insufficiency of the new notes in circulation was due to CBN’s directive to the banks that they should ensure they mopped up all the old currency notes before the deadline.
Consequently, withdrawal limits for the new notes at the ATM was pegged at 20,000 naira where it is available while only customers who wanted to deposit the old notes were those welcomed in the banking hall”.
But is there hope that the new notes would be in full circulation by the coming week?
New Naira Notes
The clock is ticking, the deadline approaches, government says no going back, 31st January remains sacrosanct as the old note by then would cease to be a legal tender .
The Central Bank of Nigeria, CBN, is to impose a one million naira fine on commercial banks per day for each box of new naira notes they refused to pick and disburse to their customers ahead of Tuesday next week’s deadline.
The CBN Deputy Director in charge of Research, Mr Adeleke Adelokun made this known at the Ayegbaju Market, Osogbo during a sensitisation programme organized for Osun market women on the new naira notes of N200, N500 and N1000 denominations.
Mr Adelokun noted that the apex bank had printed enough new naira notes, but the commercial banks had refused to pick them up.
According to him, “CBN has printed enough new naira notes but we discovered that most of the banks have not collected the money. When we discovered that they refused to collect the new naira notes we put sanctions on the bank with a fine of 1 million per box per day depending on the number of days”.
“We also mandated the banks to put new naira notes in the ATM machines all over Nigeria so that Nigerians will have access to the new notes.”
Also speaking, the Branch Controller of CBN, Osogbo Branch, Mr Madojemu Daphne who was represented by Mrs Adebayo Omosolape alleged that Nigerians hoarded the old naira notes to the tune of two point seven trillion naira.
He noted that 84.71 per cent of the country’s currencies in circulation were outside the vaults of commercial banks across the country.
“Statistics shows that N2.72 trillion out of the N3.26 trillion currency in circulation as of June 2022 was outside the vaults of commercial banks across the country, and supposedly held by members of the public.” Mr Daphne added.
Residents of Ibadan, the Oyo State capital, today besieged banks’ Automated Teller Machines, ATM points with excitement to withdraw new naira notes but were disappointed as they were paid with the old notes.
Our Correspondent, Olukemi Akintunde who moved around commercial banks and ATM points in the Dugbe axis to ascertain compliance with CBN’S policy on the circulation of new naira notes with effect from Thursday 15th December, reports that customers were seen making transactions with the old naira Notes instead of the new one.
Some customers at the ATM point who were anxious to withdraw new notes alleged that commercial banks were hoarding the new notes.
“One of the residents said, “Am not surprised this is Nigeria, the apex bank that promised the new naira notes in circulations today had failed because this is almost noon and am yet to receive new notes.”
“This is my second bank ATM point today and am yet to get new naira notes”. She said
“Another customer complained that commercial banks will not give them rather for those who are in the naira mint business “
They appealed to Apex bank to monitor the compliance of commercial banks on the policy.
In an interview with security personnel of a commercial bank at the ATM point who craved anonymity said the machines were pre-loaded with old notes the previous day, hence the reason for dispensing the old notes.
“If you want new notes, you will get it at the counter, even someone gave me one thousand naira this morning as a gift. “
A commercial bank staff, who does not want her name mentioned explained that they were unable to pay with New notes because the CBN was yet to hand over the new notes to their branch, stating that customers would get the new notes as soon it is handed over to them.
…Banks begin reconfiguration of ATMs to recognise new naira notes
The newly redesigned naira notes will go into circulation on Thursday with Deposit Money Banks releasing the bills to their customers via over-the-counter payments.
This came about three weeks after President Muhammadu Buhari unveiled the new bills at a weekly Federal Executive Council meeting in Aso Rock Villa.
The President unveiled the redesigned notes across the N200, N500 and N1,000 denominations.
The Governor of Central Bank of Nigeria, Godwin Emefiele, had in October announced that the apex bank would release re-designed naira notes by December 15, 2022.
Top officials of commercial banks confirmed to newsmen on Wednesday that they had received the new notes from the CBN a couple of days ago, adding that the redesigned currency would be released to their customers effective Thursday.
“We got the funds (new notes) about two days ago. Our head office has dispatched the funds to various area offices across the country. My branch will pick up our allocation at a nearby area office. We will start releasing the new notes to our customers by Thursday,” a top official of a commercial bank who spoke on condition of anonymity on Wednesday because he was not authorised to speak on the matter said.
Multiple banking sources also said the new notes had arrived and were being kept in their vaults.
“The new notes have arrived, it will be made available to customers from tomorrow (Thursday)” an official of Polaris Bank who pleaded anonymity also said.
Similarly, a manager at First Bank Plc who was not authorised to speak on the matter said, “We have the funds from the CBN now. It came in some days ago but it will be made available to customers from tomorrow (Thursday).”
However, some bank officials claimed the amount of the new notes available to the various bank from the CBN was small.
According to them, most OTC payments will still have to be made using the old notes because the amount of the available new notes is still small.
“The amount given to us is small compared to what we need. For example, what is available to my branch is less than N1m. This is nothing compared to what we need. But I believe it will increase with time,” an official of FCMB in Lagos who pleaded anonymity told one of our correspondents.
Also, multiple banking sources confirmed they have started to reconfigure their ATMs to identify the new naira notes.
A top bank executive said, “Most of the banks have started reconfiguring their ATMs so that they can identify the new notes of N1000, N500 and N200.”
Meanwhile, findings from the CBN show the total amount to be released into circulation may not be much as the sum previously in circulation.
A top official of the CBN, who spoke on condition of anonymity, said the CBN was planning to increase electronic payments and not cash transactions.
According to him, the CBN will not be printing large amounts of the new notes.
He said, “The CBN has been disbursing the new naira notes to the banks but does not intend to disburse large quantities because it wants to boost electronic payments.
“Don’t expect that there will be a large circulation of the new notes in the economy. There are different electronic channels that people should be using.”
In the meantime, the House of Representatives is expected to grill Emefiele over the new cash withdrawal limits policy which restricts OTC payments for individuals and companies to N100,000 and N500,000, respectively on Thursday.
The CBN had, in a memo introducing the policy, said third-party cheques above N50,000 would no longer be eligible for OTC payment while extant limits of N10m on clearing cheques still remained.
The circular also directed banks to load only N200 and lower denominations into their ATMs and restricted withdrawals from ATM to N20, 000 per day. Withdrawals from PoS terminals were also limited to N20,000 daily.
The policy, which will become effective on January 9, 2023, has generated criticisms but the CBN clarified last Wednesday that PoS operators could apply for a waiver.
The House had last Thursday summoned the CBN governor to appear before it to explain the policy.
House of Representative sources told newsmen on Wednesday that Emefiele was being expected in the chamber as planned.
Meanwhile, the Senate on Wednesday called on the CBN to review the newly introduced cash withdrawal limits policy.
It also directed its Committee on Banking, Insurance and other Financial Institutions, to embark on an aggressive oversight of the central bank.
The Chairman of the committee, Senator Uba Sani (APC Kaduna Central), had in the report argued that the proposed cash withdrawal limits policy was well conceived by the CBN for the transformation of the nation’s economy, noting that the action falls within the mandate of the apex bank as provided for in Section 2(d) and 47 of its extant Act.
By January 31, 2023, the existing naira notes would cease to be legal tender following the plan by the Central Bank Of Nigeria to redesign N200, N500 and N1000 notes by December 15, 2022.
Upon the announcement, the development has been attracting widespread speculations among Nigerians.
To shed more light and clear grey areas on the plan of the apex bank, watch this episode of Midweek Cruise via this linkhttps://fb.watch/gxYGv-eaWO/
The Central Bank of Nigeria, on October 26, announced its decision to redesign new N200, N500 and N1000 notes by December 15, 2022.
According to the apex bank, the existing notes would cease to be a legal tender by January 31, 2023.
What does this development portend for the nation’s economy and the lives of Nigerians ?
Listen to Mid-week Cruise with
Join Dayo Adenuga & Belinda Quadry On Wednesday 2nd November 2022, by 9am for Mid-week Cruise on Southwest Network of Radio Nigeria Stations — Premier 93.5fm Ibadan,Positive 102.5fm Akure, Gold 95.5fm Ilesa,Progress 100.5fm Ado Ekiti, Paramount 94.5fm Abeokuta.
You can also watch live on Facebook @ Premier fm93.5
Guest: Professor Adeola Adenikinju,. Guest is the Head of Department of Economics, University of Ibadan and member of CBN’s Monetary Policy Team, Professor Adeola Adenikinju.
