Cash Scarcity: Residents In Akwa Ibom Facing Challenges 

Cash Scarcity: Residents In Akwa Ibom Facing Challenges 

Despite the Central Bank of Nigeria’s assurance that the old Naira notes would remain valid beyond the December 31 deadline, Akwa Ibom State is experiencing a scarcity of these notes.

Residents, particularly traders and filling station owners, are hoarding the new notes due to the fear that the Supreme Court’s order invalidating the old notes by December 31 still stands.

The federal government sought the vacation of this deadline order, citing the current economic volatility as a reason and emphasizing the potential negative consequences if the old currency is phased out.

According to The Attorney General of the Federation, Lateef Fagbemi, any attempt discontinue the usage of Naira notes would plunge the country back into the economic crisis experienced during the cashless policy era of the former CBN governor, Godwin Emefiele.

He therefore, urged the court to allow both the old and new currency to continue to serve as a legal tender in the country.

He said, “abiding by the deadline for the validity of the old 200, 500 and 1000 naira notes ordered by this honourable court will make the government of the federation to push the country into another national, economic and financial crisis which this honourable court sought to prevent in the first instance by its judgement in the afore-mentioned suit.

“The only way to save the nation from both of the above situations is to allow both the old and new notes to be used as legal tender until the required structures are put in place and proper consultation established.”

However, some residents in Akwa Ibom are engaging in panic withdrawals, seemingly skeptical of the government’s stance on the deadline.

Traders who profited from the cashless policy era by selling cash to Point of Sale (POS) operators are now hoarding cash.

This has resulted in a scarcity of cash in most commercial banks in Uyo, with withdrawals over the counter limited to no more than N20,000.

This issue has generated discussions and concerns among the public, with callers on radio programs expressing disappointment at the Central Bank’s failure to ensure sufficient availability of cash and criticizing those who hoard cash for causing hardship for the masses.

In other parts of the state, POS operators are buying cash from traders in Uyo at low rates to sustain their businesses since they cannot withdraw more than N20,000 from banks.