•Naira abuse
The Central Bank of Nigeria has raised the alarm that the abuse and poor handling of naira banknotes are significantly increasing the cost of printing and replacing them.
The warning came yesterday during the launch of a nationwide sensitisation campaign on proper naira handling, held in Abuja, reports The PUNCH.
Delivering a keynote address, the Deputy Governor, Operations Directorate, Dr Bala Bello, represented by the Director of Currency Operations and Branch Management Department, Dr Adedeji Adetona, stressed that the naira is more than just a medium of exchange.
“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 outright mutilation—undermine the dignity of our national symbol and increase the costs of maintaining it,” Bello said.
He cautioned that unless corrective action is taken, Nigerians will continue to bear the financial consequences.
“If we do not act today, poor handling of our notes will continue to raise the cost of printing and replacement, cause frustration in everyday transactions, and weaken confidence in our currency,” he added.
The campaign, themed “Naira Our Pride: Handle with Care,” is aimed at instilling respect for the naira and encouraging behavioural change. Bello noted that the CBN cannot succeed alone, calling for collaboration from banks, traders, transport unions, schools, civil society, religious groups, and the media.
“Every stakeholder has a critical role to play. Banks must educate customers and ensure only fit notes are in circulation. Market operators and transporters must discourage rejection or abuse of naira notes. The media and civil society must amplify this message, while every citizen must see themselves as custodians of the naira,” he explained.
The deputy governor also warned against cash hoarding, particularly as the festive season approaches. “Cash hoarding harms us all. It denies others access to cash, disrupts circulation, and puts undue strain on the system. I therefore call on stakeholders to encourage responsible cash use, promote alternative payment platforms, and help curb hoarding,” Bello urged.
According to him, if Nigerians handle their notes properly, the lifespan of the naira would be extended, avoidable costs would be reduced, and the currency’s symbolic value preserved.
In his welcome address, Adetona, represented by Deputy Director Mr Kazeem Olatinwo, said the campaign was not only about clean notes but also about building public confidence in the financial system. “As we approach the yuletide, the Bank has made sufficient arrangements to ensure an adequate supply of banknotes nationwide. What is needed is proper handling to keep our notes clean and fit for use,” he said.
Also speaking, the Acting Director of Corporate Communications, Hakama Sidi-Ali, reminded Nigerians that issuing legal tender 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 emphasised the need for citizens to take ownership of protecting the naira, stressing that the task cannot be accomplished by the apex bank alone.
“The CBN is committed to enhancing Nigeria’s payment system while protecting consumer rights. Citizens must embrace alternative payment platforms to reduce pressure on cash,” she said.
Data from the CBN’s 2024 financial report highlighted the cost implications of poor currency handling. The bank spent N315.18bn on currency issue expenses in 2024, a staggering 306 per cent increase from the N77.67bn spent in 2023.
Currency issue expenses cover the printing, processing, distribution, and disposal of banknotes. Analysts attribute the sharp rise to the printing of new notes, redistribution logistics, and the destruction of damaged currency.
The CBN disclosed that the sensitisation campaign will extend to all 36 states and grassroots communities to ensure widespread adoption of proper note handling. By fostering collective responsibility, the Bank hopes to curb careless practices, reduce the ballooning cost of maintaining the naira, and preserve its role as both a financial instrument and a national symbol of unity.
