•Say CBN’s policy will hurt rural dwellers

•Claim cash limit may set masses against president

State governors are pitching their tent with those opposed to the N100,000 cash limit recently imposed by the Central Bank of Nigeria (CBN).

They believe the policy will hurt the economy and rural dwellers in particular.

They also fear that the CBN action may set the masses against the administration of President Muhammadu Buhari, and could constitute an unpalatable exit package for him when his second term expires on May 29, 2023.

Consequently, they have resolved to send a delegation to the President to direct the CBN to review the policy, according to an investigation by The Nation. The Nigeria Governors Forum (NGF) met on Thursday in Abuja to deliberate on the matter and take appropriate decision. A source at the session said the governors also resolved to appeal to Buhari to retain the prevailing cash withdrawal limits in the country and extend the January 30th, 2023 deadline for the phasing out of the redesigned Naira notes.

“Our decision was across party lines. We were all united that the policy will adversely affect the poor in the rural areas which Buhari administration seeks to protect,” the source said.

He added: ”With likely job losses of about 1.4million by POS operators, there is no way the rural populace can survive this policy. It is like bringing down the ceiling on the economy.

“It is becoming ridiculous that some banks now issue out as low as N2,000 to a customer. Also, no matter how influential you are, banks may only give N200, 000 new notes under the table.

“As governors, we are closer to the grassroots more than the President. This policy may set the masses against Buhari. It is not a good exit package from a President who has enjoyed the confidence of the masses.”

Another governor also said: “We agreed to beg the President to have a rethink and retain the status quo cash limits to save the economy.

“Having tried his best to salvage this economy, no individual should ruin Buhari’s achievements with a stroke of the pen.

“The CBN policy is unpopular but those profiting from it do not want him to see the other side of the coin.”

A governor from the North-East said: “The NGF opted to send a delegation to the President to tell him our feelings and the implications of the CBN policy on the economy.

“For instance, we also recommended that the new notes should be in operation side by side with the old notes for about six months.

“There is too much confusion at the grassroots. It is just unfortunate that the CBN has led us to this level.

“In a country with low access to banks in rural areas and high illiteracy, how do you implement a cashless policy? Already, the middle class is gone and now some people somewhere are out to neutralise the poor class.

“The implication is that crime rate will be higher. Can we afford this? No.

“We want audience with the President. If possible, let the CBN Governor be there. We will lay all the cards on the table and what the nation should do to save the economy from collapse.”

Asked if the governors chose to gang up against the CBN because of lack of access to illicit funds for campaign, the source responded: “Not at all. Governors from all the parties opposed the policy at our meeting.”

“We are talking of the survival of a country; you are attributing our position to the 2023 polls which will come and go.

“After the 2023 polls, the political class can effect changes in CBN. So, at any point, those in charge of the apex bank cannot have the last laugh. There will be life after the elections.

“We believe that they have not told the truth to the President. The CBN’s action is anti-people but the President is pro-people. This is an indication that something is wrong somewhere.”

Some other Nigerians and institutions including the two chambers of the National Assembly had earlier asked the CBN to review the cash withdrawal limit policy immediately, citing the danger it portends for the economy and the generality of Nigerians.

On Friday the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) sent a petition to President Buhari calling for the suspension of the policy to save 1.4million bank agents from losing their means of livelihood.

On the same day the Arewa Consultative Forum (ACF) said in a statement that

CBN’s insistence on implementing the policy would lead to a catastrophic collapse of the informal sector of the economy.

The forum said while the CBN might mean well for the country with the policy, it “evidently failed to consider the unintended consequences of implementing it in the way they have planned; consequences that may be extremely grave.”

It said: “If the CBN insists on implementing this wholly unrealistic policy of restricting individual’s cash withdrawal from the banks to N20,000 per day and N100,000 for a week or N500,000 in the case of corporate bodies, it won’t be long before we suffer a catastrophic collapse of the informal sector of the economy. More than anyone, CBN knows that transactions in commodity markets especially in the rural areas are entirely cash based.

“The villager that brings to the market his chickens, beans, onions, goat or cows does not typically have a bank account or internet skills. Cash remains the overwhelming medium of exchange for much of the country particularly in the North. This should surprise no one as bank offices are largely unavailable even for people who are keen and have the skills to use them.

“Even by the CBN’s reports, over 38 million adults in Nigeria do not currently have access to banking services with “women, rural dwellers, Micro-Small and Medium-Sized Enterprises and Northern Nigeria” being among the most disproportionately excluded. And despite its pious pretensions, it is on record that the CBN under the present management, apparently out of desire to safeguard the interests of the commercial banks, has done much to undermine and stifle the progress of financial inclusion in Nigeria.

https://thenationonlineng.net/governors-reject-naira-withdrawal-limit-offer-to-meet-buhari/

They should mount pressure on president buhari and CBN to reverse this policy abeg.


But i hope they are not doing this for their own selfish interest sha because elections are coming and these governors will like to spend their slush funds without hindrances

Paint it the way you want, this policy is very wrong. You can't just go copy one system from Europe and impose it on us without taking note of the structures on which they were built in that Europe.

Network is even the main challenge here, why not get at least 90% perfection on this first? Imagine after shopping in the mall, you either make a transfer or use the POS only for the money to get stucked, call the bank, they tell you to wait for 5 working days before reversal.

Secondly, why punishing over 200 million Nigerians because of less than 10k politicians? Recently, the cbn says there are over 1.4 million pos agents nationwide, with 20k daily maximum withdrawal limits, how can they continue their business?

This is just a tip of the Iceberg on the attendant issues with this policy, there over 100 other cases that are yet to be noticed and will largely affect SMEs which this govt claim to be its main apostle.

And for those thinking they are doing Tinubu, I just dey laff.

Anyway, what do I know?

I wish this 20k daily withdrawal will stand.

Rubbish. They want to be withdrawing cash from government accounts to enable they steal / misuse public funds

Let it stand till after the elections
Then CBN can review it

it will destroy the economy, you are ok because you are in a city where there is telecom networks, atm, pos and you have the luxury of being educated. there are many who are in remote areas where the network is very bad, how will they transact? how will food sellers going deep into rurarl areas pay farmers when even ppl in the cities are rejecting the new notes / we don't have the infrastructure yet to do these things.

another1:
I wish this 20k daily withdrawal will stand.

One punk called Anambra1stFool said Tinubu ordered them to take this action.

Corrinthians:
One punk called Anambra1stFool said Tinubu ordered them to take this action.

Of course, Tinubu sponsored the governors because it will hurt vote buying. Connect the dots, why redesign the naira before the withdrawal limit at the eve of the election?

onatisi:
it will destroy the economy, you are ok because you are in a city where there is telecom networks, atm, pos and you have the luxury of being educated. there are many who are in remote areas where the network is very bad, how will they transact? how will food sellers going deep into rurarl areas pay farmers when even ppl in the cities are rejecting the new notes / we don't have the infrastructure yet to do these things.

But at least let it stand till after election.

Way to go

That shit from the CBN governor cannot stand.

I applauded him when he redesign the naira even though the redesigned naira looks like the inferior copy of the old notes, nonetheless, I still love it cos it'll curb corruption.

However, Mr Emefiele carried his luck too far by cluelessly and immature bringing this limited withdrawal of just 20k a day.

Yes, personally I will not be affected much but what about the people who don't even know what banking is all about? Are they less Nigerians?

What about the areas of Nigeria that there's no bank ?

Why make it affect the millions of POS operators and their customers? You just rendered them jobless, why?

Even the most educated among us, when we go shopping, we can't pay more than 20k with our cards. How many filling stations has pos? Do you consider the time it'll take to buy fuel when it'll be charged from your account through your card?

What if there's network failure and in emergency?

The problem the CBN governor is trying to solve was created by the elites, why making the poor pay for their sins?

This policy if allowed to remain will trigger inflation because I can't withdraw cash of 20k from the pos operators with extorbitant charges without including the cost on my service or goods.

So many things is wrong with this policy, but surely, the poor people will suffer more. Rich will always maneuver their way through it because they can afford to pay the 5% service charge from the bank.

Very useless policy

you have a point

another1:

But at least let it stand till after election.

onatisi:
it will destroy the economy, you are ok because you are in a city where there is telecom networks, atm, pos and you have the luxury of being educated. there are many who are in remote areas where the network is very bad, how will they transact? how will food sellers going deep into rurarl areas pay farmers when even ppl in the cities are rejecting the new notes / we don't have the infrastructure yet to do these things.

Do we have any economy left to be destroyed ? Everything has been destroyed already. We have nothing to lose again.

i agree with you that the nation will have to start all over again but we cant allow the rural people and villagers to suffer for the sins and cluelessness of politicians living in the cities and towns .

Googledotcom:
Do we have any economy left to be destroyed? Everything has been destroyed already. We have nothing to lose again.

There is nothing we have not suffered in this country.... So am sure it will be reviewed prior election or after election... Which is ok... Just 60days plus..

Okay

Ok

One governor from Katsina told us that they're happy with the withdrawal limit

Alright now.

I am in support of this policy. The governors are doing this for selfish reasons. They are corrupt and desperate to manipulate the elections.

The bullion van Jagaban being the biggest culprit

Anything to move our darling nation forward is all we want at [b][/b]

another1:
I wish this 20k daily withdrawal will stand.

Because ure poor

OK

anything opposed by the governors is always the right thing to do

Kk

That policy has come to stay...bubu will not answer them...