New naira notes decline in circulation as banks load ATMs with cash, CBN may enforce use of eNaira

Nigerians have witnessed, with dismay, how the newly redesigned new naira notes have reduced in circulation, leaving Nigerians to grapple with the old notes that are mostly torn and worn out.

The development comes as the Central Bank of Nigeria (CBN) directed the commercial banks to open on Saturdays and Sundays.

The Guardian reports that the CBN has ceased the distribution of new naira notes to commercial banks, causing their scarcity.

Several banks have been seen loading ATMs with and dispensing the old naira notes as they pay the same over the counter.

Some bank branches said they did not receive the new notes from the CBN in the last month despite improvement in the circulation of old notes.

The Guardian quoted a source saying CBN may soon enforce eNaira as it begins nationwide training for Point of Sale (PoS) operators in its use.

According to the source, banks’ staff are not trained in the technicalities of digital currency.

Bloomberg reports that the number of eNaira wallets has spiked more than 12-fold to 13 million since October 2022, and the value of transactions jumped 63% to N22 billion in 2023.

CBN’s Acting Director of the Corporate Communications Department, Isa Abdulmumin, stated that banks received substantial cash for circulation to their customers.

Abdulmumin said the CBN directed all commercial banks to load their ATMs and perform physical operations in the banking halls on weekends.

The CBN spokesman added that Godwin Emefiele, the apex bank governor, would lead teams to monitor compliance nationwide.