Reactions trail New Naira notes deadline extension in Bauchi.
By Abubakar Baba Ahmad.
An Economist with Sa’adu Zungur University Gadau Dr Yahaya Yakubu says the measures put in place by the Central Bank of Nigeria CBN will check rising inflation and stimulate the economy.
The University Lecturer gave the indication in am Interview with Radio Nigeria on the impact and implications of the apex bank’s naira redesign and cashless policies implementation.
Dr Yahaya Yakubu who is also a Senior lecturer with the Department of Economics said the policies introduced are necessary in view of the fact that high percentage of cash is not circulating in the banking system.
“The monetary policy committee has been doing its best to see that it cut the inflation rate but nothing is coming out of it because of this money that is outside circulation, there’s no way no matter how you try to bring up policy it might not be so much effective because some people are withholding money, so I think its a very good policy,” He explains.
He said mopping up the huge hoard of money among people will help bring in Investors, empower citizens and ensure the regulation of money in circulation.
“It is going to stimulate the economy because if you have liquidity within the economy or you have money within the bank circulating, loans can be given to people who are in need to stimulate the economy through entrepreneurship, through production many people are there like the investors can loan the money,” Dr Yahaya expanciates.
The Economist who lamented the low financial inclusion among Nigerians, advised all and sundry to support the policies by depositing their old notes before the end of the extension window given.
“Countries have redesign their currencies but people should understand that the reason why Jonathan administration redesign the naira is entirely different from why the CBN is redesigning the naira now, the CBN is redesigning the naira to get those monies that were kept outside the circulation to get them out and without giving target, you cannot be able to get those monies out,” the Economist adds.
Also Speaking, a Christian Clergyman Reverend Okafor Emefesi who appealed to the federal government to extend the deadline by at least six months, noted that the ten days extension window is too short as many people in the state especially rural dwellers do not transact with financial institutions.
“I’m pleading with His Excellency let him not finish his government with a policy that would put Nigerians into more suffering, he’s leaving a legacy , start the process and let the new people continue. We are not against this changing of currency, but it should be given time. People should be able to withdraw 100 thousand or so to do their business, Nigerians want fuel, they want food on their table , they want to see the cost of rice coming down,” the Clergyman appeals.
Reverend Okafor Emefesi explained that the policy should be implemented in phases, as the rush would plung people into abject poverty.
On her part, a Graduate of Mass Communications from University of Maiduguri Sayum Sani commended the Central Bank of Nigeria for heeding to the cries of the masses by extending the deadline, a step which she claimed will reduce the hardship faced by people in accessing the new currencies and transacting at markets.
“It is very like people would be able to have the new notes and people should be patient, even the market people because we might take the old naira notes to them, so please they should be patient in accepting it,” Sayum advises.
The Central Bank of Nigeria CBN had on the 29 of January shifted the deadline on the use of old naira notes from 31 January to 10 February due to outcry by majority of masses.