The Central Bank of Nigeria has not printed small naira denominations for about a year now, causing the scarcity of the notes in the economy, the News Agency of Nigeria reports.
Sources at the CBN hinted that for a year now, the apex bank had not awarded contracts for the printing of the notes such as N5, N10, N20 and N50, which was usually done abroad.
NAN gathered that the recently printed notes in circulation, N200, N500 and N1,000, were produced by the Nigerian Security Printing and Minting Plc.
The NSPM produces currency notes and coins for the CBN and a wide range of security documents for the federal, state and local government establishments, commercial banks and blue chip companies.
According to the NSPM website, the company has the ability to print over 40 million notes weekly.
However, the sources said the high cost of printing banknotes was the reason the apex bank did not give out contracts for their production.
“The cost of printing N50 is almost the same as N1,000. Printing small denominations costs more than the value, and with the present economic situation, it makes sense to print higher notes, which can be done locally by the NSPM,” one of the sources explained.
A worker at First Bank of Nigeria Limited told NAN that throughout the festive season, there were hardly smaller currency notes to give to customers.
The worker, who spoke on the condition of anonymity, said, “We usually request for cash from the CBN through our Cash Management Centre, but recently, we have not been able to get mints of N100 and below.
“We had N50 at one point but it wasn’t in the quantity we are used to getting. We have been telling our customers who call to request for mints that the smallest currencies they can get is N200.”
A political economist, Mr. Jude Ndukwe, said the implication of the situation was that prices of goods were likely to increase since there were no smaller currencies in circulation.
He said, “A bread seller is likely to increase the cost of bread from N350 to N400 simply because he does not want to deal with the difficult task of getting change.
“The same goes for a bus conductor and so forth. This act alone is enough to add to the hardship of the average Nigerians; N10 or N50 may not mean anything to some, but it means a whole lot to millions of Nigerians living in poverty. So the government should do something about this.”
But the Acting Director, Corporate Communications, CBN, Mr. Isaac Okorafor, denied the allegation that the apex bank had not contracted the printing of smaller denomination currencies since 2015.
He stated, “There is no scarcity of smaller denomination notes in the market. People are complaining because we did not make provision for mints to be supplied in smaller denominations during the festive season.
“You see, people are fond of abusing these denominations by spraying them to be stepped on during weddings and other ceremonies. The abuse is even worse during the festive season; so, we decided to make scarce the denominations. But it’s not that we have not been printing them.
“Yes, we haven’t printed abroad but we also print locally, which we have been doing.”
When asked the last time Nigeria actually had the smaller denominations printed, Okoroafor promised to get the details.
He reiterated that it was a crime to hawk or sell mint notes in the country, saying there was an enforcement committee comprising the CBN and the security agencies to check the menace and arrest culprits.
Okorafor said that the CBN was collaborating with the police to ensure that Nigerian currencies were not abused.
Copyright PUNCH.

http://punchng.com/cbn-fails-print-small-naira-notes-one-year/

Is someone trying to punish me? Why??

ok

Excessive printing of smaller denominations will lead to proliferation of the note and the end result is Zimbabwe dollar.

What is the use of printing more of what has tiny value?
When the naira rebounds in value, print more

What's tha business?

And there is recession

Lol....naija I hail

They are probably saving money to print 5000 naira notes for us.

So after all the honey moon stunt; the billionaire's son can't even come and confirm to Nigerians if Zara is still a virgin or not after all the support we accrued to them... it's none of my business though!

nawaooo!

If you are in the US or have relatives in the US trying to send money to naija, I will exchange the funds at 415/$, simply deposit into my US bank account and receive instant funding into your Nigerian account. Don't bother with western Union and co, they exchange at 375/$ with fees and the exchange rate drops to around 345/$.

See my contact below.

Smh

ok

RichYoungNigger:


Wow

I hope it gets worse

Amusu.

Smaller notes is used by the masses more in their minute transaction. This idea doesn't portray a nice decision for the country.

No wonder #10, #20 items can hardly be seen or purchased in the market.

All these increases inflation and inadvertently deepening our recession

v

It is even worthless

recession in CBN tho

The way Buhari is running this country is sideways

THE REASON

“The cost of printing N50 is almost the same as N1,000. Printing small denominations costs more than the value, and with the present economic situation, it makes sense to print higher notes, which can be done locally by the NSPM,” one of the sources explained."

THE IMPLICATION


implication of the situation was that prices of goods were likely to increase since there were no smaller currencies in circulation.
He said, “A bread seller is likely to increase the cost of bread from N350 to N400 simply because he does not want to deal with the difficult task of getting change.
“The same goes for a bus conductor and so forth. This act alone is enough to add to the hardship of the average Nigerians; N10 or N50 may not mean anything to some, but it means a whole lot to millions of Nigerians living in poverty. So the government should do something about this.”

GOVERNMENT'S USUAL RESPONSE


There is no scarcity of smaller denomination notes in the market. People are complaining because we did not make provision for mints to be supplied in smaller denominations during the festive season.
“You see, people are fond of abusing these denominations by spraying them to be stepped on during weddings and other ceremonies. The abuse is even worse during the festive season; so, we decided to make scarce the denominations. But it’s not that we have not been printing them.
“Yes, we haven’t printed abroad but we also print locally, which we have been doing.”

When asked when was the. Last time it was printed" the guy made u turn sharply..and said will get details" If you can have info on the printing of other denominations then you must have on when last it was printed... Liar

Isaac okorafor was asked when last did CBN print less denomination, he promise to get the detail first , Nigeria is really cursed , I agree that we re in a zoo

Pls print more money.

Snail government

So we also print Naira abroad......nawa ooo

RichYoungNigger:


Wow

I hope it gets worse

Are you normal?
Are you well?
O ya were ni?
Won te were m'eba fun e ni?
O n siwin ni?
O fe si ere ni?
Ori e buru ni?
Won s'epe fun e ni?

Last Bullet
If you don't v answers to these questions, may you lack N50, N20 & N10 change in 2017.

CBN ayaf crash

Bullhari will not even print the change he promised us for danfo.

(Inside my head)
Since there is corruption is all parastastal own by the government.......
There is corruption in Nigerian Security Printing and Minting Plc.

So how far the guys that prints and steals 1000naira notes

Oh Lord just 3 month internship is all I pray

No wonder