Hy everyone, trust you doing good!
It was incumbent on the central bank of Nigeria to consider the need for extending the deadline for citizens to take their old notes to the bank in exchange for a new one.
On 31/January, 2023 was supposed to be the deadline where all old currencies are expected to be out of circulation before the election but as yet speaking even the banks are still dispensing old notes. This is quite unfortunate because there is no way individuals could manufacture the new currencies themselves but has to ensure that even these currencies are in circulation enough before implementing the law.
On this occasion I will like to bring updates as regards currency redesign in Nigeria and its impact.
The news that seems good
Well the good news out of this is that the deadline has been pushed from 31st January, 2023 to 10th February, 2023 , additional 1 week and few days were given to extend the exchange of old notes for the new one.
I am bothered much as people say the reason for this policy as supported by the governor of CBN himself is a means to reduce fraud and corruption. To me corruption has always been there right from when I was born, it only took different shape summarized by funny idioms but the corruption is yet to be tackled.
I laughed so hard when we are been told that stolen money in the government sector has been swallowed by monkey, snake or something or even offices caught fire with money in it. Logically no one would believe this because none of the listed animals has money amongst their food chain. This is just the extent to which corruption has taken dimension. The basic problem is that few are willing to change the system but majority depends on the corruption to survive.
Brief Revolution of finance
Right from the use of coins till the paper fiat, what mostly changed in currency design is the numerical value and its worth.
When I refer to value, I literally mean the number inscribed on the note.
Long ago, NGN20 or twenty naira could buy me 5 biscuits which I use for school. I could even spend as low as five naira in school. A sachet of water then cost five naira and as usual I will decide to take some food to school and spend less on food. But right a sachet of water cost NGN20. What specifically changed is the increase in the value of goods and services which requires additional units of money, to balance this, there was need to print higher denomination such as NGN200, NGN500, and NGN1000.
But despite all of this nothing has really changed rather.
My suggestion out
Having considered the ineffectiveness of money policies, I think one needs to clamor for a total currency change.
This has made me to buy the idea of crypto but there is a challenge to when it will be widely accepted even by small stores.