Here is our current dilemma.
All over Nigeria citizens are going on a rampage and here is why;
It all started when the central bank of Nigeria (CBN) launched new banknotes on the 15th of December 2022 and capped withdrawal limits to one hundred thousand naira (100,000) per week for individuals, and five hundred thousand naira (500,000) for corporations weekly.
And in a bid to curb corruption during the upcoming presidential elections, the national assembly quickly called for the suspension of this policy made by CBN, at least till of the end of the 2023 elections. However, Nigerian citizens were not having this as they expressed their concerns on the low withdrawal limit and its effects on their daily lives. CBN responded by increasing the weekly limit for individuals to 500,000 and 1 million for corporations. (Source: theconversation.com)
With this sorted, the next agenda was to completely stop the circulation of old naira notes. To this regard, CBN issued a deadline for all those in possession of the old notes to get them changed either by depositing or exchanging them at their respective banks. This deadline was initially 31st of January 2023, but it was later extended till the 10th of February 2023.
Here lies the issue, both new and old notes are currently not in circulation causing the cash scarcity in the county.
Banks started limiting withdrawals to 2000 naira per withdrawals and POS vendors have now increased their charges when purchasing naira to 30% of your initial withdrawal, with others collecting up to 50% extra.
This new situation has caused large queues at ATM machines, random fight outbreaks in various ATM and bank locations, protest from bank staffs who feel threatened and attacked by civilians in the cause of their jobs and protest by civilians who are simply outraged by the entire ordeal. Now the question is, is this a onetime thing or is this our new normal?