The Central Bank of Nigeria (CBN) redesigned the Naira notes of 200, 500 and 1,000 Notes denominations. There are several reasons for this new face of these denominations of the currency. This was done in the last quarter of 2022.
Advantages of Naira Design:
- Tackling inflation by reducing the amount of cash in circulation.
- Reducing the amount of higher denominations in circulation and increasing the amount of lower denominations to boost the economy.
- The New naira limit will tackle the menace of money laundering and kick back cash payments in Nigeria. Also the stockpiling of money outside the bank by Nigerian politicians.
- To checkmate vote buying by politicians. Most Nigerians are very stupid enough to sell their votes to their oppressors. In order for the federal government to help this stupid person, they introduced this Naira design.
- The CBN can monitor the economy better by knowing the amount of cash in circulation. This will improve the economy of Nigeria.
- More bank transfers make money for the different financial institutions. These Banks are free!
- Criminals, bandits, and kidnappers can be traced with ease. This can reduce the bribery and corruption created by cash transactions.
- More jobs for ICT developers and computer scientists.
- Politicians connive with bankers to cause artificial money scarcity. This makes it very difficult for the common man to access Naira Notes physically.
- Remote areas where banking is difficult will find it hard to access new Naira notes. Due to withdrawal limits, many people may not have much cash for business transactions.
- Poor GPRS and internet networks faced in Nigeria will limit faster transactions. In Nigeria, credit and debit alerts from banks take time. This can cause delays in transacting and frustration between business partners.
- More charges are fined on customers because of many transaction fees. This can make people stop depositing money in banks. These banks are free of this stress.
- When 4 happens, many bankers will lose their jobs.