https://guardian.ng/opinion/benefits-of-naira-redesign-cash-limit-and-swap-policies/
THE GUARDIAN
By Sylvester Udemezue
There was a news report on February 18, 2023, which came under the title, “Cash Crunch A Blow For Politicians Ahead Of Elections — Hon Doguwa” and which reports Hon Ado Doguwa as saying, inter alia, that “each member of the House of Representatives is entitled to N70 million cash to pay polling agents and for other election running costs, stating that if they have no hard cash, they will be disadvantaged in the exercise.
House of Representatives member Hon Doguwa’s indirect confessional speech as shown in the video leaves no one in doubt that, with the Naira Redesign, Daily Cash Withdrawal Limit and swap policies, recently introduced by the Central Bank of Nigeria (CBN), on/with President Buhari’s directives/approval (pursuant to Sections 17, 18, 19 and 20 of the CBN Act, 2007), it appears that President Buhari and the CBN have considerably reduced the capacity of all Nigerian politicians to carry huge CASH around (in “HARD COPY”, according to Hon Ado Doguwa) during general elections and electioneering campaigns, usually for the criminal purpose of vote buying, voter inducement, and manipulation of the electoral process, among other electoral malpractices resulting in grossly flawed elections that naturally produce bad leaders. Bad leaders are a plague on any country.
While I acknowledge that the policies came with side effects and attendant adverse implications on ordinary Nigerians, I respectfully submit that the advantages of the policies are already beginning to manifest themselves, as illustrated by Hon DOGUWA’s confession which I think was borne out of frustration in the face of stack realities brought about by the policies.
Let’s look at some of the ways the policies might be said to have positively affected Nigeria and Nigerians.
(1). A February 19, 2023 news wire law and events news report under the title *”Naira scarcity: commercial s3x workers count losses, decry low patronage”* has it that “One s3x worker, said her customers had reduced drastically due to the current ‘no cash syndrome’”.
Thus, the policies may end up sanitizing some sectors of Nigeria. It’s believed that majority of the men that patronize female commercial sex workers wouldn’t want to do payments through transfers as this might reveal their true identity which may not be good for their public image. Thus, business is going down somehow, thanks to introduction of the cashless policy.
(2). Reports of armed and highway robberies have reduced drastically in different parts of Nigeria in the past one month. Which cash they wan collect?
(3). There appears to be a zero report of Bank robbery in all parts of Nigeria in the last 3 weeks or thereabouts
(4). Many online and mobile banking apps and platforms hitherto left grossly unutilized or underutilized are now being put to maximum use. In that way, the capacity and effectiveness of Nigerian Banks to handle or sustain online transactions on their respective ICT platforms are now being put to test. Those banks that had thought their internet and mobile banking setups and structures were stable, efficient and effective are now beginning to see obvious loopholes and weaknesses in their platforms. This would lead each bank to undertake massive upgrades and strengthening of its ICT platforms with a view to serving the public better.
