The House of Representatives, in an unusual step, recommended that the Central Bank of Nigeria strengthen the use of coins as legal money and ensure that banks completely comply with the mandate on Tuesday, March 22, 2022. According to BusinessDay, this follows the acceptance of a motion proposed by Muda Umar of Bauchi at plenary.
According to him, on February 28, 2007, Nigeria spent a significant amount of money to introduce the use of coins as part of the previous Governor of the Central Bank of Nigeria, Sanusi Lamido Sanusi's economic reforms.
He explained that the N50, N20, N10, and N5 banknotes, as well as the coining of N1 and 50 kobo and the introduction of a new N2 mint, were all reissued with new designs.
"the day to day business transactions of ordinary Nigerians have been significantly affected as the lack of coins and other lower denominations have resulted in prices being summed up to the nearest Naira equivalent, a situation that can best be described as inflation in economic terms," Umar stated.
The House, while adopting the motion, mandated the Committee on Banking and Currency to ensure compliance.
Present rate of inflation has made coins practically useless. So, what would N50k, N1 and N2 coins buy? Absolutely nothing. Nigerians may not in fact, be willing to accept them.©Standard Gazette, 2021. Unauthorized use and/or duplication of this material without express and written permission from this site’s publisher is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Standard Gazette with appropriate and specific direction to the original content.