CBN warns on negative outcome of abusing naira as printing cost
File photo: CBN governor, Olayemi Cardoso
The Central Bank of Nigeria has declared concerns that abuse of the naira is driving up the cost of printing and replacing banknotes.
The warning came on Wednesday at the flag-off of a nationwide sensitisation campaign on proper naira handling, held in Abuja.
The Deputy Governor, Operations Directorate, Dr Bala Bello, was represented by Dr Adedeji Adetona, Director of Currency Operations and Branch Management Department, who delivered the speech on his behalf.
“The Naira is more than a means of payment. It represents our national pride, our sovereignty, and our shared destiny as a people. Unfortunately, careless practices-folding, tearing, spraying at social events, writing on notes, and even outright mutilation undermine the dignity of our national symbol and increase the costs of maintaining it,” Bello said.
He warned that if corrective measures are not taken, Nigerians will continue to bear the consequences.
“If we do not act today, poor handling of our notes will continue to raise the cost of printing and replacement of the currency, cause frustration in everyday transactions, and weaken confidence in our national currency,” he added.
The campaign, themed “Naira Our Pride: Handle with Care”, is aimed at changing behaviours and instilling respect for the national currency.
The Deputy Governor stressed that the CBN cannot achieve this goal alone and called for the collaboration of banks, transport unions, traders, schools, civil society, religious organisations, and the media.
“Every stakeholder has a critical role to play. Banks must continue to educate customers and ensure fit notes are always in circulation. Markets and transport operators must help discourage the rejection or abuse of Naira notes, the media and civil society must amplify the campaign and take the message into every household, while all Nigerian citizens must see themselves as custodians of the Naira. This is how we will move from sensitisation to true behavioural change,” he said.
Bello also cautioned against hoarding cash, particularly as the festive season draws closer.
“As the yuletide season approaches, I must also emphasise that cash hoarding harms us all. It denies others access to cash, disrupts circulation, and puts undue strain on the system. Here again, collaboration is important. I therefore call on all stakeholders to encourage responsible cash use, promote alternative payment platforms, and help curb hoarding practices,” he said.
He explained that if Nigerians handled their notes with care, the lifespan of the currency would be extended, avoidable costs would be reduced, and the naira’s position as a symbol of unity and pride would be preserved.
The sensitisation exercise, he said, would reach every state and community across the country.
In his welcome address, the Director of Currency Operations and Branch Management Department, Dr Adedeji Adetona, who was represented by a Deputy Director, Mr Kazeem Olatinwo, said the campaign was not only about clean notes but also about national pride and public confidence in the financial system.
He assured Nigerians that adequate arrangements have been made to ensure a sufficient supply of banknotes during the upcoming festive season.
“As we approach the yuletide, the Bank has made sufficient arrangements to ensure an adequate supply of banknotes to meet demand nationwide. What is needed is proper handling to keep our notes clean and fit for use,” he said.
Also speaking, the Acting Director of the Corporate Communications Department, Hakama Sidi-Ali, reminded Nigerians that issuing legal tender currency and ensuring the availability of clean notes are core mandates of the CBN under sections 17, 18 and 19 of the CBN Act 2007.
She called on citizens to take ownership of efforts to protect and preserve the integrity of the naira, stressing that it is not a task the apex bank can achieve alone.
According to her, the apex bank remains committed to enhancing Nigeria’s payment system while also protecting consumer rights.
She encouraged citizens to embrace alternative payment platforms to reduce pressure on cash usage.
In 2024, the CBN spent N315.18bn on currency issue expenses, marking an increase of 306 per cent compared to N77.67bn recorded in 2023.
