Naira notes turn commodities in Nigeria, scarce, sell at N200 per N1,000

Since the redesigning of N200, N500 and N1,000 denominations of Naira notes by the Central Bank of Nigeria (CBN), the Nigerian currency has become commodities in the country; scarce and sold at N200 per N1,000 at virtually all the PoS centres in Lagos State and other parts of the country. The Nigerian currency has transformed from being legal tender to commodity such that Nigerians now purchase money with money to purchase other commodities.

Investigation by National Daily showed that PoS operators have become the major sources of cash withdrawals by many Nigerians seeking access their deposits in the various commercial banks since the swapping of the redesigned Naira notes with the old notes.  Virtually all the Point of Sale (PoS) operators at several locations in Ikeja and its environs told National Daily that they purchase the cash to remain in business.

Invariably, Nigerians continue to purchase the country’s currency with money to sustain their lives as the swapping of the Naira notes hits the deadline of February 10. Majority of the commercial banks visited by National Daily on Thursday were shut down, while the ATMs were not dispensing cash.

Some customers who went to the ATM galleries to transfer cash, were disappointed as there was not ‘network’ at the locations. Several others complained that they could not do transfer transactions on the telephone sets.

National Daily noticed few banks providing skeletal services to their customers were receiving cash but not attending to withdrawals.

Few branches of UBA were, however, paying out N100 notes over the counter but in limited amount. Some could collect N2,000 and others M10,000. The N100 notes are worn out, dirty, some wearing off, such that some customers declined to make withdrawals and preferred to go out and purchase Notes from PoS operators. The bank officials also insisted that no one should change any of the worn-out notes at the withdrawal point but rather return the bad notes next Monday.

As Nigerians go through the agony of purchasing the country’s currency with money, PoS operators have filed day of exploitation. At several locations, Nigerians purchase N5,000 at N1,000 which hitherto was withdrawn at the rate N100; N20,000 sale for N4,000. Few PoS operators, however, give discount of N10 or N20 per N1,000, thus, customers at those points pay N800 or N900 for N1,000. Most of the transactions were being sone with the old Naira notes.

At Thursday, National Daily investigation showed that old Naira notes were more in circulation than the new notes, yet, Nigerians were experiencing scarcity of Naira notes like the persistence petrol scarcity. Some Nigerians who spoke to National Daily complained that the banks allegedly delivered the new Naira notes to politicians, leaving Nigerians in financial hardship. Many expressed the fear that the federal government should not come up tomorrow and tell Nigerians that the government now pay subsidy on the sales of Naira notes in the domestic economy.