Nigeria’s President to deal with cash crunch ahead of exchange deadline

February 4, 2023 Elwin Mandowa

Nigeria’s President Muhammadu Buhari has promised to deal with the cash crunch the country is experiencing currently.

The crisis has caused chaotic scenes in parts of the West African country which is expected to hold elections this month.

Nigerians are trying to get their hands on new naira notes ahead of a February 10 deadline.

The old notes which will then become worthless can be exchanged for a further seven days at the country’s central bank.

In a tweet, President Buhari said everything is being done to resolve the problem.

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“I am aware of the cash shortages and hardship being faced by people and businesses, on account of the Naira redesign. I want to assure that we are doing everything to resolve these issues. Nigerians should expect significant improvements between now and the February 10 deadline,” he continued.

I met with a delegation of Governors today, on the matter. All the complaints about the execution of the currency change are being seriously looked into. I will ensure that everything is resolved in a lasting manner, and we will all enjoy the long-term benefits of the decision.

— Muhammadu Buhari (@MBuhari) February 3, 2023

One video circulating on social media showed people fighting at an ATM to get money.

Another showed a man stripping down to his underwear as he was waiting at the bank.

The deadline to exchange the money was supposed to have been ending of last month, but it was extended by 10 days to give more people in rural areas time to get the new notes, the central bank’s governor had said.

When the bank announced in October that the 1,000 ($2.18) 500 and 200 naira notes were to be replaced, it said 80% of the notes in circulation were outside banks.

The central bank believes that with the redesigned currency it will have a better understanding of the money circulating in the economy so it can better manage inflation.