Banking halls across various commercial banks in Lagos, Osun, Ekiti, and other parts of Nigeria experienced minimal activity as frustrated customers turned to alternative means of cash withdrawal due to a scarcity of naira notes. Reports from our correspondents indicated that most banking halls were nearly empty because of a lack of funds in bank vaults. However, large crowds gathered outside some banks rumored to be preparing to load their Automated Teller Machines (ATMs). At the First Bank Plc branch along Ogunnusi Road in Lagos, a few customers were seen arguing with bank officials who insisted that the branch had run out of cash. Similar scenes unfolded at Ecobank, Zenith Bank, GTCO, and Access Bank, all located in close proximity along Ogunnusi Road. In contrast, Union Bank Plc, also situated on the same axis, attracted a sizable crowd of commuters jostling through the queue in hopes of accessing cash from the ATM.
Further down the road, near Ojodu Grammar School, our correspondent visited United Bank for Africa (UBA) and Access Bank. At UBA, the ATM was not dispensing cash, and no payments were being made over the counter. A bank official informed our correspondent that the bank was restricted to paying denominations lower than N200 due to a directive from the Central Bank of Nigeria (CBN). When our correspondent attempted to withdraw the lower denominations, he was told there was no money available, not even a thousand naira. At Access Bank in the same area, there were no over-the-counter payments, and the ATMs were also not dispensing cash. A commuter named Emmanuel Collins shared his experience, stating that he had just left UBA, where he pleaded for any available denomination. He lamented, “I’ve been to my bank. Since yesterday, they don’t have any cash. They said they don’t have N1000 and N500 notes. I asked them to pay me, even if it’s in N50 notes, but they didn’t have.”
Meanwhile, many customers of microfinance banks in Osun State threatened to protest against the lack of cash for withdrawal. During visits to several microfinance banks in Osogbo, it was observed that many bank officials were absent while customers waited endlessly to access their funds. Some of these customers were salary earners who typically received their monthly salaries through accounts in microfinance banks. While speaking to our correspondent at Olubasiri Microfinance, Ibuaje Microfinance, and Osogbo Microfinance banks, customers expressed their frustration and threatened to protest if the situation did not improve. An official from a microfinance bank in Osogbo, who spoke on the condition of anonymity, attributed the operational collapse of many banks to the CBN’s failure to include microfinance banks in its plan for replacing old naira notes with new ones. When contacted, Mr. Tunde Lawal, Chairman of the National Association of Microfinance Banks in Osun State, confirmed the operational challenges faced by many banks due to a lack of cash to pay customers, but referred our correspondent to the national leadership for further comments.
In Ado Ekiti, the capital of Ekiti State, a middle-aged woman pleaded with bank officials at the Opopogboro branch of First Bank to assist her in withdrawing N9,000. However, she was informed that the maximum withdrawal limit was N2,000. Despite her repeated requests, the female cashier maintained that this was the policy that bank customers had to comply with. Many customers queued at ATMs in various banks throughout the state capital, which were dispensing a maximum of N20,000, expressing their frustration at having to wait in line instead of attending to their businesses and other important matters.
In Bauchi State, operatives of the Independent Corrupt Practices and Other Related Offences Commission (ICPC) arrived at two banks on Tuesday to monitor the cash disbursement exercise. This operation, which is ongoing, involves a joint task force comprising ICPC operatives, staff from the Economic and Financial Crimes Commission (EFCC), and representatives from the CBN. A senior ICPC official confirmed that the task force was monitoring the disbursement of new currency notes by commercial banks within Bauchi metropolis. Additionally, the ICPC arrested an Abuja-based woman, Oluwadarasimi Emma, for allegedly offering new naira notes for sale on social media. The arrest followed intelligence received by the agency, leading to her apprehension. The ICPC spokesperson, Mrs. Azuka Ogugua, stated that Emma, a self-described “serial entrepreneur,” had exploited the scarcity of new naira notes to market them openly, suggesting collusion with elements in the financial services sector to divert the newly released notes into a black market.
The Ondo State Chambers of Commerce, Industry, Mines and Agriculture (ONDOCCIMA) criticized the implementation of the new naira policy by the CBN, claiming it was designed to undermine micro, small, and medium enterprises (MSMEs) and the average citizen. In a statement, spokesperson Adeboro Onibalusi lamented the hardships caused by the policy, stating that access to both old and new notes had become increasingly difficult for business operations in the state.
Atiku Abubakar, the presidential candidate of the Peoples Democratic Party, urged the CBN not to extend the deadline for swapping old naira notes. He emphasized that any further extension would undermine the objectives of the currency redesign initiative. In a statement released by his media office, Atiku called for the CBN to evaluate its measures to ensure a smooth flow of new naira notes to alleviate the hardships faced by Nigerians, particularly those in rural areas who rely on cash for daily transactions. He also cautioned the CBN to be wary of elite interests that might be pushing for a deadline extension for ulterior motives, while expressing his support for a cashless economy and a reduction in cash circulation.
The Lagos Chamber of Commerce and Industry (LCCI) echoed similar sentiments, stating that the CBN’s failure to adequately plan and implement the phase-out of old naira notes had placed significant strain on many businesses. In a statement signed by Director-General Chinyere Almona, the chamber noted that the new naira redesign had sparked varied reactions, indicating that issues such as the withdrawal limit and the scarcity of new notes were adversely affecting businesses and livelihoods. The statement expressed disappointment that the expectations for a smooth transition to the new notes had not been met, leading to impediments in business deals and loss of time and value for many. The LCCI called on the CBN to clarify the reasons behind the scarcity of new naira notes and to strengthen its policy implementation capacity to address the ongoing currency crisis.
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