The Naira redesign policy of the Central Bank of Nigeria (CBN) has caused the nation's inhabitants much misery, and the economy is in peril, the Lagos State House of Assembly bemoaned on Tuesday.
The MPs added that although the policy was sound, it came at the wrong time because it had further exacerbated the nation's economic disarray, which could be challenging to overcome if immediate action is not taken.
At a meeting on Tuesday, presided over by Speaker Mudashiru Obasa, the lawmakers requested the CBN to extend the deadline for currency exchange because the policy had not benefited the nation. The CBN had announced a 10-day extension of the deadline for currency swap at the weekend.
Obasa pointed out that the MPs' worries related to the suffering, agony, and rage that Nigerians were experiencing as a result of being unable to use the new money.
"Economists have said most of the time you cannot use new currency to control inflation, it doesn't fulfill the purpose most of the time," Obasa said, adding that the policy's stated goals had been failed as a result of the many criticisms from professionals and citizens across the nation.
Instead of implementing a policy "overnight," the Speaker claimed that the CBN should have involved stakeholders and fully supported the public.
“There are people in the rural areas. It is obvious that the additional 10 days is not even going to be enough.
“The idea is a good one but the way it is being implemented will have an adverse effect on the people.
“We need to commend the National Assembly for showing quality representation and prompt action to intervene for an extension of the deadline.”
According to the Speaker, several nations allow their outdated currencies to gradually disappear from circulation rather than throwing them out immediately.
The motion's author, Somolu Constituency 1 representative Rotimi Olowo, requested an extension of the deadline till July 2023 in accordance with the National Assembly resolution while pointing out the pain the policy has caused Nigerians.
Olowo bemoaned the absence of the new notes and its impact on people, particularly small-business owners and residents in rural areas.
Saka Solaja, chairman of the House committee on public accounts for state, argued in support of the motion that financial policies are not carried out in the same way the CBN had handled the redesign of the naira.
He bemoaned the lack of money while supporting the CBN's request to extend the deadline, saying "We witness recordings of individuals brutally abusing themselves at ATMs."
Richard Kasunmu (Ikeja II) countered that the policy's timing was incorrect, particularly given that the nation was still battling issues with reliable internet connectivity.
He recalled how he had attempted to send a 55,000 electronic transfer earlier in the day, but had failed after five hours.
"We ought to focus on the larger Nigerian population. This shouldn't be a good moment for such a program if we want to survive the Nigerian economy, he remarked.
As Victor Akande (Ojo 1) stated that Emefiele had violated a provision of the CBN Act pertaining to the policy, Setonji David said that CBN governors are often economists rather than bankers like Emefiele.
"Our people are struggling, and the ATMs are empty of cash. You could see how people are struggling if you went to the ATMs, he bemoaned.
Following a voice vote by all present members, the proposal was approved by the Speaker.
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