In response to the growing concerns over reported shortages of naira notes in the country, the Central Bank of Nigeria (CBN) has stepped forward to address the situation, attributing it to heightened withdrawals by Deposit Money Banks (DMBs) and customer panic. The CBN’s Corporate Communications Department, along with CBN Governor Olayemi Michael Cardoso, has reassured the public that there is no actual shortage in currency supply and measures are in place to ensure sufficient cash flow for essential economic activities.

The central bank’s announcement comes as a direct response to the surge in significant cash withdrawals by financial institutions. CBN Governor Olayemi Michael Cardoso emphasized that............

https://ratecaptain.com/cbn-addresses-naira-shortage-concerns-amidst-increased-withdrawals/

The shortage might be due to the inflation in the country much cash for few goods and services while the cbn is not even printing more naira notes.

This is the worthy of front page but the moderators would prefer to push frivolities to fp.

By the way, yesterday I wanted to deposit a huge sum of cash before I got the information that there's shortage of cash. So I left with my money because I don't want what happened earlier this year to repeat.

Another policy error

Artificially created

JOemmy:
The shortage might be due to the inflation in the country much cash for few goods and services while the cbn is not even printing more naira notes.

Could be one of the reasons. I read some banks usually restrict customers from withdrawing desired amount.

People are averting what has happened in the recent years .

This is akin to the usual panic buying of fuel, provided CBN is truthful.
Unlike fuel that can't be stored for long in individual homes, money can be kept for as long as the person desires.
Where do we go from here?

It’s inflation. Imagine Synriam malaria drugs of 1500 is now selling for 3500.

That’s means someone that usually carries 150k to market every week now needs about 350k cash.

Currency redenomination can only work after the economy have been fixed from a terrible inflation and it’s now stable, otherwise the inflation effect will also attack the new Redenomination currency.