The banking sector regulator Alo dismissed allegations of cash scarcity in the banking sector.
It attributed the seeming cash scarcity in some locations to high volume withdrawals from the CBN branches by Deposit Money Banks (DMBs) and panic withdrawals by customers from the ATMs.
There were reported cases of panic withdrawals in parts of Nigeria over fear that the banknotes could be scarce as was experienced at the end of 2022, especially as the bank was yet to comment on continued use of the redesigned higher-denominations of the old currency notes.
The court had extended the use of the old banknotes till December 2023 to allow a better circulation of the new notes.
However, in a press statement signed by the Director of Corporate Communication, Isa AbdulMumin, the CBN said, “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. The branches of the CBN across the country are also working to ensure the seamless circulation of cash in their respective states of operation.”
