CBN Replies Finance Minister, Says Due Process Was Followed In Naira Redesign

The Central Bank of Nigeria (CBN) of Nigeria has insisted it followed the law and due process in its planned redesign of new Naira notes, which is 12 years overdue.

This was in reaction to objections by the Minister of Finance, Budget and National Planning, Zainab Ahmad, that her ministry was not duly involved in the proposed change of notes.

Osita Nwanisobi, CBN spokesperson in an interview expressed surprise at the minister’s claim, insisting that the CBN remains a very thorough institution that follows due process in its policy actions.

Nwanisobi maintained that 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, had duly sought and obtained the approval of President Muhammadu Buhari in writing to redesign, produce, release and circulate new series of N200, N500, and N1,000 banknotes.

However, 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.

This trend, he said, should not be encouraged by anyone who means well for the country.

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

He 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.

On the timing of the redesign project, 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.