Despite the Central Bank of Nigeria’s stance that the old notes will stay valid over the deadline of December 31st, shortage of Naira notes has affected Akwa Ibom State.
The State’s citizens, particularly merchants and gas station operators, are still stockpiling the fresh notes, according to observations made by DAILY POST.
This is a result of the worry that the Supreme Court’s ruling that the previous notes will expire on December 31 would stand.
Citing the current economic instability as justification, the federal administration, represented by Attorney General of the Federation Lateef Fagbemi, has petitioned the Supreme Court to have the deadline ruling vacated.
He begged the court to maintain the status of both the old and new currencies as legal money in the nation, warning that doing otherwise would throw the nation back into the economic turmoil that accompanied the implementation of the cashless policy under previous CBN governor Godwin Emefiele.
“The government of the federation will push the country into another national, economic, and financial crisis, which this honorable court sought to prevent in the first instance by its judgment in the afore-mentioned suit,” he declared, referring to the deadline for the validity of the old 200, 500, and 1000 naira notes that this honorable court ordered.
“Leaving both the old and new notes to be used as legal tender until the necessary structures are put in place and proper consultation is established is the only way to save the nation from both of the above situations.”
But in Akwa Ibom, some locals are already experiencing panic attacks since they don’t appear to be buying into the federal government’s position on the deadline.
Some vendors have been hoarding cash since they were able to make such large earnings selling cash to Point of Sale (POS) operators during the cashless regime.
Due to a lack of cash, the majority of the commercial banks in Uyo City that I visited do not accept payments of more than N20,000 over the counter.
A bank client named Koko Akpan bemoaned the fact that none of his banks would give him the N140,000 he needed to buy food, even though he went to two of them to withdraw N140,000 and N150,000, respectively.
According to Akpan, he was able to obtain N20,000 (twenty thousand naira) from every bank.
Since I never take out more than N10,000 from an ATM or bank, I’m unaware of what’s going on.
However, I was shocked to find that there was no money in the bank when I went to take out the money my sisters gave me so I could buy them some things.
The checkout girls gave me a meager N40,000. He told our correspondent, “I had to go to the POS where I collected the balance after losing N3000 for charges.
Speaking under anonymity, a bank employee bemoaned the lack of cash in the banks as a result of a drop in consumer deposits.
“We don’t always have much cash because people no longer deposit much money,” the staff claims. However, we are still able to pay clients up to N50,000.
In response, a caller on a Comfort FM phone-in show in Uyo, Idongesit, expressed concern over the CBN’s incapacity to provide cash and the “callousness” of certain individuals to hoard the cash, causing immense suffering for the general public.
“My bank cannot pay more than N20,000 over the counter; they said they don’t have money when you ask them,” he said. What is the CBN governor up to, I wonder?
The legislature is aware of the problem, so why, in their screening process, didn’t they ask the CBN governor how he planned to handle it?
“How do you compensate the woman at the market who is selling a bunch of plantains?”
As they are unable to withdraw more than N20,000 from the bank, several point-of-sale (POS) operators in other local governments of the State said they purchase cash from vendors in Uyo at extremely low rates in order to maintain their businesses.
Two clients of his at Eniong Market sell him cash three times a week, according to an operator going by the name Udeme.
“I go inside the market and get the money; I don’t source money from the bank,” he declared. That works better for me.
“Well, it’s not as before, like that cashless policy time,” he responded when asked how much he spends on buying cash. It’s not a substantial sum. I send any of them N503,000 or N504,000 at times, and they pay me N500,000 in cash.
They won’t worry out or waste time traveling to the bank to deposit the cash, therefore it is better for us that way.
“In the end, they will also receive a little something on top. I am not alone; a large number of my coworkers also experience it.
In a conversation with a vendor at Uyo’s well-known Itam Market, he declared: “Nigeria is look me, I look you, everything goes! Are we certain that they won’t declare the old naira to be worthless by December?
“I suggest you hold onto the updated notes until then, and we can wait and see what transpires.
“I sort the old notes from the new ones after the day’s sales, save the new ones, and distribute the old ones to others who use point-of-sale systems for their businesses. They purchase beer for me, but I don’t sell to them. “It can’t be like the other time, but some of my neighbors here sell to them,” he said.
