CBN Addresses Naira Scarcity Concerns, Attributes Situation to Bank Withdrawals and Customer Panic

The Central Bank of Nigeria (CBN) has provided clarification regarding the observed scarcity of naira notes within the country.

In an official statement from the CBN’s Corporate Communications Department, the apex bank attributed the perceived shortage to substantial cash withdrawals made by Deposit Money Banks (DMBs) from various CBN branches. Additionally, the statement acknowledged that panic withdrawals by bank customers also played a role in contributing to the apparent scarcity.

CBN’s reaction is coming amid a series of complaints by some bank customers concerning the scarcity of Naira notes at bank counters, Automated Teller Machines (ATMs), Points of Sale (PoS), and Bureaux de Change (BDCs).

The CBN said there is no shortage of naira notes, noting that there is an adequate supply of the currency in the economy.

The statement reads: “The attention of the CBN has been drawn to reports of alleged scarcity of cash at banks, ATMs, PoS and BDCs in some major cities across the country.

“Our findings reveal that the seeming cash scarcity in some locations is due largely to high volume withdrawals from the CBN branches by DMBs and panic withdrawals by customers from the ATMs.

“While we note the concerns of Nigerians on the availability of cash for financial transactions, we wish to assure the public that there is sufficient stock of currency notes for economic activities in the country.”