N7.9 trillion dirty notes: ABCON backs CBN’s policy
.Says policy will deepen value of credit for real sector
. By Udeme Clement
The President, Association of Bureau De Change Operators of Nigeria, ABCON, Alhaji Aminu Gwadabe has said that the initiative by the Central Bank of Nigeria, CBN, to withdraw a huge sum of N7.9 trillion dirty and mutilated notes from circulation is a welcome development.
Alhaji Gwadabe, who expressed his support and that of his members for the apex bank on Clean and Banknote Fitness Policy, explained that such step would deepen the value of credit available to operators in the real sector, as well as other sectors of Nigeria’s economy.
According to him, the CBN’s Banknote Fitness Policy came in the nick of time and would also increase the level of money supply in the economy.
He said, “The launch of CBN Clean and Banknote Fitness Policy is timely, considering the volume of dirty and unfit naira notes in circulation now. This is a good policy because it would boost public confidence in using the naira as a medium of exchange. Also, it would discourage the attitude of people in stashing the naira notes even in their homes”.
The ABCON President pointed out, “It is obligatory on the part of CBN as the regulator in financial system, to ensure supply of clean banknotes, in order to enhance efficient payment and settlement of daily transactions by the public, as well as the commercial banks.
“It is obvious that the policy aims at creating a new culture for proper handling of the naira notes”.
More so, the apex bank has announced that a whooping sum of N7.9 trillion notes in circulation are mutilated and therefore unfit for payment over the counter , for Automated Teller Machines, ATMs, and usage for general transactions.
In a statement by the CBN’s Deputy Governor, Operations, Folashodun Shonubi and Director, Currency Operations Department, Pricilla Eleje, the apex bank declared its plan to withdraw such notes from circulation through Clean and Banknote Fitness Policy.