CBN Speaks On Current Cash Scarcity In Parts Of Nigeria

The Central Bank of Nigeria (CBN) has reacted to reports of cash scarcity in some locations, assuring that there is sufficient bank notes for economic activities. This was as it enjoined members of the public to also adopt alternative means of payment such as electronic transfers, e-Naira and PoS transactions.

This was contained in a statement issued by the CBN director, corporate communications, Isa AbdulMumin on Thursday, which pointed out that the cash crunch experienced in parts of the country was due to high volume withdrawals from the CBN branches by banks and panic withdrawals by customers from automated teller machines (ATMs).

According to the statement, “The attention of the Central Bank of Nigeria has been drawn to reports of alleged scarcity of cash at banks, automated teller machines (ATMs), Point of Sale and among Bureax de Change (BDCs), in some major cities across the country.

“Our findings revealed that the seeming cash scarcity in some locations is due largely to high volume withdrawals from CBN branches by Deposit Money Banks, DMBs, and panic withdrawals by customers from the ATMs.

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“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.

“Members of the public are therefore advised to guard against panic withdrawals as there is sufficient stock to facilitate economic activities. Nigerians are also advised to embrace alternative modes of payment which would reduce pressure on using physical cash.”