Paschal Emeka, Abuja / Posted December 11, 2023
Central Bank of Nigeria (CBN) has explained the reasons behind the scarcity of naira notes in the country.
In a statement issued by the Corporate Communications Department of the CBN, the apex bank said the seeming currency scarcity was caused by large volume withdrawals of cash from various CBN branches by Deposit Money Banks (DMBs).
It stated that panic withdrawals by bank customers were also partly responsible for the seeming scarcity.
CBN’s reaction is coming amid a series of complaints by some bank customers concerning the scarcity of Naira notes at bank counters, Automated Teller Machines (ATMs), Points of Sale (PoS), and Bureaux de Change (BDCs).
The CBN said there is no shortage of naira notes, noting that there is an adequate supply of the currency in the economy.
The statement reads: “The attention of the CBN has been drawn to reports of alleged scarcity of cash at banks, ATMs, PoS and BDCs in some major cities across the country.
“Our findings reveal that the seeming cash scarcity in some locations is due largely to high volume withdrawals from the CBN branches by DMBs and panic withdrawals by customers from the ATMs.
“While we note the concerns of Nigerians on the availability of cash for financial transactions, we wish to assure the public that there is sufficient stock of currency notes for economic activities in the country.”
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