*Agitation for extension grows
The Central Bank of Nigeria (CBN) has insisted the old N200, N500 and N1,000 notes seizes to be legal tender on February 1, 20223.
The CBN Governor, Godwin Emefiele maintained this position on Tuesday in Abuja during the January, 2023 Monetary Policy Committee (MPC) briefing. This is even as there is growing agitation for the extension of the deadline flowing the inability of the CBN to ensure the new Naira notes reaches all parts of Nigeria ahead the deadline.
Some Nigerians are yet to even see the new naira notes a week to the expiration of the deadline.
Recall the CBN had redesigned the higher naira denomination ostensibly to reduce cash in circulation outside of the banking sector which the CBN claims was in excess 70 percent of the total cash in circulation.
Emefiele has told journalists that he is going on as planned even amidst agitations from the National Assembly, the traditional rulers and other prominent Nigerians who have called for extension following the poor distribution of the new currency.
He said: “I don’t have good news for those who want deadline of old naira to be changed because we will not move it. People are holding and vaulting the naira in their houses and they don’t have the license to do that, because they use it to speculate on the naira” Emefiele said.
He said the Apex bank has so far mopped up about N1.5 trillion, hoping to achieve about N2 trillion before the deadline.
Interest Rate
Meanwhile, rising from the MPC meeting, the CBN still raised the interest rate even as the prices of goods and services have spiked amid rising energy costs and the cost of transportation.
The voted to increase the interest rate from 16.5 to 17.5%.
The committee noted that the increase is aimed at fighting inflation aggressively. The CBN has raised interest rates for three MPCs consecutively yet inflation has maintained consistent rise.
The MPC also retained the Cash Reserve Ratio at 32.5 percent, and the Liquidity Ratio at 30%.
The CBN Governor, Godwin Emefiele in his post MPC briefing noted that the marginal drop in inflation figures was not enough to celebrate.
He noted that the members were unanimous in their decision to tighten.
Stamp Duty Controversy
Speaking on the stamp duty controversy, Mr. Emefiele said the total stamp duty collected by the bank in 7years is N370.7 billion not N89trillion as alleged by some group.
Recall that House of Representatives member, Mr Muhammed Kazaure had raised the alarm of alleged theft of stamp duty proceeds running into N89 trillion
He alleged that the apex bank has not remitted stamp duty revenue to government coffers as tax insisting that the bank remits only 60 per cent to the government while 40 per cent goes to private pockets.
Emefiele said: ” The total banking sector assets as at today is N71 trillion. Thebtotal bank deposit is N44.418trillion.so it is not possible to for stamp duty alone to clock more than yhebtotal bank assets and deposit.”
He said of the amount so far disbursed by the Federal Inland Revenue Service (FIRS) to the federation account is N226.4Ben, leaving a balance of N144.2Bn
