The decision of Supreme Court on Wednesday to grant an interim order stopping the Central Bank from ending the use of the old Naira notes as from February 10 was taken to arrest the drift to anarchy and restore public order and stability to the country.
Nigeria is in a state of flux as a result of the poorly conjured, ill-timed and haphazardly implemented cashless policy of the Central Bank that grounded socio-economic activities in the country.
In last week’s column titled, “The cashless society has gone cashless”, I highlighted some of the limitations and imperfections abound in the new CBN policy and the difficulties associated with its nationwide implementation due to infrastructural deficiencies and our cultural variations.
Barely three weeks to the all-important February 25 Presidential election, Nigeria cuddled with anarchy and social disorder following sequence of unpalatable events and untold hardships forced on millions of Nigerians who struggle to swap their old Naira notes with the new ones.
Commercial banks across the country are the visible culprits. Many Nigerians spent days on the queues at the banking halls and the ATMs with no cash to collect or retrieve, putting them severely on the edge.
Invariably, the activities of some Bank officials has worsened an already dire situation. The Economic and Financial Crimes Commission (EFCC) reportedly arrested manager of a commercial bank in Abuja for hoarding over 29 million new Naira notes. Cases of bank officials colluding with some disgruntled elements to hoard the new currency was replete across the country, which many observers say aggravated the scarcity of the new Naira notes.
What happened in Maiduguri further explained the tyranny of commercial banks in the face of current challenges. The Borno State governor, Professor Babagana Zulum, who was irked by the nonchalance of commercial banks to the plight of the state’s citizens, reportedly threatened to revoke their land C-of-O which paid dividends as some of banks have reportedly started issuing new notes to customers.
The failure of the banks to live up to expectations and satisfy the needs of their customers angered many and triggered violent protests in major cities such as Abeokuta, Akure and Benin. While citizens agonize over the new designed Naira palaver, politicans are now questioning the real motive of the exercise.
Before the Supreme Court order temporarily cancelling the CBN’s February 10 deadline to end the validity of the old banknotes, Kaduna State governor, Nasir El-Rufai had spoken out strongly against the timing of the naira redesign policy, saying that it was a deliberate attempt by some “elements” in the presidency to sabotage the electoral chances of the presidential candidate of the ruling APC.
Speaking on Tuesday in Kaduna, El-Rufai asked Nigerians to stop depositing their old naira notes in banks, promising that the APC presidential candidate, Bola Tinubu, will reverse the naira redesign policy if elected as the next president.
For me it is rather surprising that in spite of the hardship being expressed daily by Nigerians due to the currency swap, Atiku Abubakar and Peter Obi, the PDP and Labour presidential candidates respectively voiced opposition to any extension of the CBN’s February 10 deadline.
Meanwhile, the suspense will still remain with us as we eagerly await the outcome of Friday’s National Council of State meeting summoned by President Muhammadu Buhari to deliberate on the cashless policy and the subsequent Supreme Court ruling on suit filed by the Kaduna, Kogi and Zamfara state governments challenging the legality of the exercise on February 15.
Before then, what I want us to realize is that the CBN’s culled over N2.7 trillion out of circulation into the banking system by January 31, and produced N300 billion for the economy. Clearly, this signals a scenario of intended financial crunch.
The CBN intentionally wanted to create a cash crunch that’s why it printed only one-ninth of the currency withdrawn from circulation.
If the Nigerian Mint’s total capacity is about N1 trillion per annum, then it will take about three years to replace all the currency in circulation with new notes.
At this juncture, what should concern us Nigerians is that we are subtly being made to comply with an international monetary system that’s digitally inclined, designed and controlled by the Bretton Woods neo-liberal capitalists who are preparing the grounds for the emergence of a new world order. A system that seeks to possess and control all our finances and destiny.
