Cash scarcity caused by high volume withdrawals — CBN

The Central Bank of Nigeria (CBN) has assured Nigerians that there is an adequate supply of Naira notes in the economy.

The bank’s Director, Corporate Communications, Isa AbdulMumin, said this in a statement on Thursday in Abuja.

According to reports, some bank customers in recent times have been complaining about the scarcity of Naira notes at the counters, Automated Teller Machines (ATMs), Points of Sale (PoS), and Bureaux de Change (BDCs).

According to Abdulmumin, the seeming currency scarcity is occasioned by large volume withdrawal of cash from various CBN branches by Deposit Money Banks (DMBs).

He said that panic withdrawals by bank customers was also partly responsible for the seeming scarcity.

“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.

“The branches of the CBN across the country are also working to ensure the seamless circulation of cash in their respective states of operation,” he said.

The director advised members of the public to guard against panic withdrawals as there was sufficient stock to facilitate economic activities.

He also advised Nigerians to embrace alternative modes of payment, which would reduce pressure on using physical cash.