Cashless, but not by choice.
The scarcity of Naira notes is significantly affecting businesses and daily consumer transactions.
In recent months, Nigeria grappled with the problem of naira scarcity and its impact on the economy. The absence of the naira notes significantly disrupted various sectors of the economy, including daily consumer transaction rates. Last October, the Central Bank of Nigeria (CBN) announced the redesign of the N200, N500, and N1,000 notes and moved to set January 31, 2023, as the deadline for people to spend the old banknotes.
However, the withdrawal of the old banknotes in January triggered a cash shortage in the economy, causing long queues in banks and ATM points as the new notes were hardly in circulation. The situation led to an increase in the demand for foreign currency, which caused a depreciation in the naira's value. Manufacturers have reported a severe decline of more than 25% in sales of locally made products as the cash crunch slowed economic activities.
The naira crunch has further impacted living standards and increased poverty levels. People's purchasing power has reduced amid surging inflation rates.
Join us on Wednesday, 29th of March, at 4 pm (WAT), @Ventures Africa’s Twitter Space to discuss The Ripple Effect of Naira Scarcity in Nigeria.
Meet our speakers!
Oluwatosin Olaseinde is a professional accountant with over 10 years of experience spanning accounting, audit, financial management, and taxation. She is the Founder/CEO of Money Africa, an EdTech platform that enhances financial literacy and investments by leveraging technology with a community of over 200,000 people. She is recognised as one of the Top 50 African Business Heroes. She is championing the financial literacy movement in Africa.
Kalu Aja holds an MBA from the University of Nigeria Nsukka, and is an alumnus of the Lagos Business School, West African Capital Market School, and the New York Institute of Finance. With his extensive experience and qualifications, Kalu is a sought-after speaker, delivering insightful presentations and training programs on financial education, investment, asset management, and pension services.
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