CBN Did Not Consult Us on Plan to Redesign Naira – Minister of Finance Says

The Minister of Finance, Budget, and National Planning, Zainab Ahmed, has spoken concerning the plans of the CBN to redesign the Naira notes.

TopNaija reported that the Central Bank of Nigeria, CBN announced that the bank will be redesigning some of the Nation’s currency to new ones, launching on December 15, 2022.

Godwin Emefiele, the CBN Governor stated that the naira notes, N200, N500, and N1000 denominations would be redesigned and launched on December 15.

He also mentioned that the old notes will seize to be used as legal tender from January 31, 2023.

Emefiele said the action was taken to control the currency in circulation just as he asserted that the bulk of the nation’s currency notes was outside bank vaults and that the CBN would not allow the situation to continue.

Speaking at the event, the Minister of Finance, Ms. Zainab Ahmed, stated that the Federal Government did not inform her. According to Vanguard reports, Ahmed, while speaking during the 2023 budget defence at the Nigerian Senate on October 28, said if the redesigning is implemented, it will portend great consequences for the nation and its economy.

During the interactive session with the lawmakers, Senator Bamidele had, in his question, told the Minister of Finance that barely two days after the announcement of the policy by CBN, repercussion of it on the value of the Naira to US dollar was being felt.

”Just two days after announcement of the policy, value of Naira to a US dollar has risen from N740 to N788 to a US dollar due to rush in exchange of starched Naira Notes for foreign currencies, particularly dollar.

To me, the policy may be a well conceived one , but the timing going by realities on ground, is very wrong as the Naira may fall to as low as N1,000 to a US dollar before January 31, 2023 fixed for full implementation of the policy.”

While answering the question, the Minister said she was unaware of the policy but had only heard of it from the media.

”Distinguished senators, we were not consulted at the Ministry of Finance by CBN on the planned Naira redesigning and cannot comment on it as regards merits or otherwise.

However, as a Nigerian privileged to be at the top of Nigeria’s fiscal management, the policy, as rolled out at this time , portends serious consequences on value of Naira to other foreign currencies.

I will, however appeal to this committee to invite the CBN governor for required explanations as regards merits of the planned policy and rightness or otherwise of its implementation now. “she was quoted as saying.