Naira Scarcity : Latest CBN News On Naira Notes Today Tuesday 4th April 2023 can be accessed below.
Following the Naira Scarcity in Nigeria, GoldenNewsNg has compiled Latest CBN News On Naira Notes Today 4th April 2023
We are glad to report that there’s a great improvement in the circulation of cash in Nigeria. The hardship is reducing, as cbn has put in a lot of effort to ensure cash flow. Read latest News below…
We are glad to report that there’s a great improvement in circulation of cash in Nigeria.
Naira Scarcity Forces 25m MSMEs To Shut Down – ASBON
Naira Scarcity Leads to Closure of 25 Million MSMEs in Nigeria
The prolonged scarcity of the Naira, the official currency of Nigeria, has taken a heavy toll on Micro, Small, and Medium Enterprises (MSMEs) in the country, with approximately 25 million businesses either closing down entirely or drastically scaling down their operations to the point of inactivity. This situation has led to a significant decline in the ease of doing business ranking in Nigeria, particularly for unbanked SMEs, which constitute a large portion of the country’s informal sector.
Financial Literacy and Digital Banking Crucial for Financial Inclusion
Dr. Femi Egbesola, the national president of the Association of Small Business Owners of Nigeria (ASBON), attributes the sharp decline in MSME activity to a lack of financial literacy and access to digital banking platforms. He stresses that these factors are crucial to bridging the financial exclusion gap in the country’s informal sector and reducing redundancy and labor loss in the MSME ecosystem.
Impact of Cashless Monetary Policy
According to Dr. Egbesola, approximately 60% of the 40 million MSMEs in Nigeria were affected by the Central Bank of Nigeria’s (CBN) cashless monetary policy, which forced about 25 million businesses into a decline in activity and closure. He expresses concern about the negative impact of this policy on the ease of doing business ranking, which he believes is at an all-time low due to the government’s policies that are killing businesses and hurting the economy.
Government Must Prioritize MSMEs
Dr. Egbesola urges the Nigerian government to prioritize MSMEs by appointing qualified individuals to manage the affairs of the MSME ecosystem. He stresses that SMEs are vital drivers of economic growth, and the government must take urgent steps to support them and improve the ease of doing business ranking in the country.
Naira scarcity: Sanwo-Olu’s transport palliative came in handy – The Sun Nigeria
Lagos State Governor Babajide Sanwo-Olu announced a 50 percent reduction in the fares of all state-owned transport services and a support program for vulnerable people in the society.
Why naira scarcity won’t end soon
Currency In Circulation To GDP Ratio Falls From 1.63% To 0.49% In Two Months
• Scarcity’ll Contract GDP Up To 0.5% In Q2, FG Warned
• No Bank Can Meet 50% Of Customers’ Cash Needs — Managers
• CBN Must Increase Cash Circulation To N2.3tr To Ease Scarcity, Says Emmanuel
• Nigerians No Longer Depositing Cash, Advised To Brace Up For More Hardship
Why naira scarcity won’t end soon
Currency In Circulation To GDP Ratio Falls From 1.63% To 0.49% In Two Months
• Scarcity’ll Contract GDP Up To 0.5% In Q2, FG Warned
• No Bank Can Meet 50% Of Customers’ Cash Needs — Managers
• CBN Must Increase Cash Circulation To N2.3tr To Ease Scarcity, Says Emmanuel
• Nigerians No Longer Depositing Cash, Advised To Brace Up For More Hardship
Notwithstanding assurances by the Central Bank of Nigeria (CBN) to ease cash scarcity in the country, data and financial analysts, market intelligence and expert opinions suggest Nigerians would live with limited cash circulation for long or months unless there is a radical departure from the apex bank’s management approach.
The CBN was recently forced down from its high horse by the Nigeria Labour Congress (NLC), which threatened to ground the economy if cash circulation does not improve drastically.
The decision came after weeks of partial implementation of the Supreme Court’s ruling extending the validity of the hitherto phased out old notes to December.
