The Former president and accountant Lamidi Sheriffdeen and The former Kogi state I.O.S.U.G speaker and banker S.O Ibrahim gave full analysis on monetory policy.
The two emeritus comrades on the 19th and 20th day of February, 2023 during AMA season was on board for monetory issues clearification, host by Mahmood Jamiu Abiodun.
Lamidi described the rumor on cashless as "Such statements are quite laughable however we cannot blame people for having such thought as a result of the recent happenings in the country.
Inorder word Salami Olamide Ibrahim described the situation as a financial equality.
" The present situation affects everyone, whether you are a banker or not, we all need cash."
Ibrahim is currently working in Union Bank of Nigeria and he graduated from Kogi State Polytechnic with a Higher National Diploma (HND) in Urban and Regional Planning (URP), he is from Ife-olukotun, Aroke precisely.
Olamide said " Banker(s) workers are also ordinary people like anyone else who work and saves money in their various bank account."
He proceeded that not all heard is truth.
" This issue It's not an opportunity to enrich oneself and there's no room to do such with the policies that's available which checkmates what going on in every financial institutions"
The highlighted some difficulties faced by the commercial banks as :
"Humiliating bank staffs and vandalizing bank properties.
"Accusing banks of selling cash to dignitaries.
"Accusing banks of hidden cash from public..etc
Lamidi elighened us the role of every financial agency from the Federal government to the depositors in depth.
"I think we need to clarify the roles of critical players in the Nigerian economy and financial services players'
"The various actors that constitute the Nigerian financial system fall into seven broad groups:
Regulators
Trading exchanges
Exchange facilitators
Investment banks and asset managers
Stockbrokers and brokerages
Deposit banks
Discount houses
"Fiscal and monetary policies While monetary policy has to do with the process by which monetary authorities of a country controls monetary aggregates (such as money supply, interest rate, inflation rate etc.) in order to influence the economy. Fiscal policy is all about how the government uses its revenue (taxes) and expenditure (spending) to influence the economy."
"The CBN on 26 October, 2022, announced the introduction of redesigned 200, 500 and 1,000 naira notes into the financial system. But since the notes were unveiled, Nigerians across different parts of the country have had a hard time accessing it from banks and ATM points."
"The Central Bank of Nigeria says the redesigned denominations of 200 (43 U.S. cents), 500 ($1.08) and 1,000 naira ($2.17) notes and new limits on large cash withdrawals would help curb money laundering and make digital payments the norm in Africa’s biggest economy"
As of October, more than 80% of the 3.2 trillion naira ($7.2 billion) in circulation in Nigeria was in private hands, but 75% of that has now been deposited with financial institutions, the central bank governor, Godwin Emefiele, said in January
[“Cash to GDP in Nigeria is 1.8%, while cash to GDP in many advanced countries is between 5 and 10%. Hence, when you relate the cash in the Nigerian economy to GDP, it is nothing to worry about.”
According to Friedman’s Quantity Theory of Money, money is needed for transaction purposes only. In other words, it only serves as a medium of exchange. Therefore, according to the theory, “money does matter” because it is used to facilitate trade. It oils transactions.
Naira notes and coins are printed / minted by the Nigeria Security Printing and Minting (NSPM) Plc and sometimes, other overseas companies, and issued by the CBN. The CBN maintains an office called the Mint Inspectorate in the Abuja and Lagos premises of the NSPM Plc for quality control and receipt of finished Naira banknotes and coins.
The current Naira is fiat and not backed by Gold or USD, so having USD is not a prerequisite to printing Naira