CBN Reacts to Cash Scarcity Report

The Central Bank of Nigeria (CBN) has refuted reports suggesting a shortage of cash in the country’s banking system, automated teller machines (ATMs), points of sale, and bureaux de change in various major cities.

In an official statement released on Thursday, Isa AbdulMumin, the Director of Corporate Communications at CBN, categorically denied the allegations. According to AbdulMumin, the perceived cash shortage in certain areas can be attributed to the high volume of withdrawals made by deposit money banks from CBN branches and the panic withdrawals initiated by customers from ATMs.

“While we understand the concerns raised by Nigerians regarding the availability of cash for their financial transactions, we want to assure the public that the country possesses an ample supply of currency notes to support economic activities,” AbdulMumin stated.

He further revealed that CBN branches located across the nation are actively working to ensure the uninterrupted circulation of cash within their respective operational states. Consequently, he encouraged the general public to refrain from engaging in panic withdrawals, emphasizing that the central bank maintains an adequate cash reserve to facilitate economic activities.

AbdulMumin also urged Nigerians to explore alternative payment methods, which could alleviate the demand for physical cash, thus alleviating the current pressure on the cash supply.

The denial by CBN addresses growing concerns among Nigerians about the availability of cash for their everyday transactions. As the situation unfolds, the central bank’s efforts to ensure a seamless circulation of cash will be closely monitored.