Economy
Senator Suggests N100 as Highest Denomination in Circulation
By Aduragbemi Omiyale
The lawmaker representing Taraba Central Senatorial District at the National Assembly, Mr Yusuf Abubakar Yusuf, has said to curb corruption and prevent having a larger percentage of money in circulation in the hands of kidnappers and others, he would want the highest denomination in circulation in Nigeria to be N100, and not N1,000.
The Senator gave this submission at the plenary on Thursday during a debate on the new cashless policy of the Central Bank of Nigeria (CBN), which aims to make the highest cash withdrawal for individuals in a week N100,000 and N500,000 for corporate organisations.
On October 26, 2022, the Governor of the CBN, Mr Godwin Emefiele, informed newsmen that of the N3.2 trillion in circulation, about N2.7 trillion was not in the banks’ vaults, a development that prompted the apex bank to redesign the Naira, especially the N200, N500, and N1,000 denominations.
On November 23, 2022, President Muhammadu Buhari unveiled the new notes, and on December 15, 2022, they were officially introduced into the financial system, with banks giving out the new banknotes at over-the-counter (OTC) and ATMs, with N200 as the highest denomination from the machines from January 9, 2023.
While arguing on the new cash withdrawal limits yesterday, after several persons kicked against it, Mr Yusuf praised the CBN for the policy, saying it would curb corruption.
“When we are talking about cashless, we should be mindful that about N3.3 trillion in circulation, it’s only about a trillion naira that is in the bank. It is a danger to the country.
“Left to me, I would recommend the highest denomination to be N100. I so much support that we should go with the cashless policy in line with the present system that the CBN has adopted,” the lawmaker argued after Mr Uba Sani submitted a report of the Committee on Banking, Insurance and other Financial Institutions on the Implementation of Cashless Policy and the New Withdrawal Limits to the Senate.
Speaking on the report at the plenary presided over by the Deputy Senate President, Mr Ovie Omo-Agege, another Senator, Mr Ajibola Basiru, noted that, “The threshold that had been set is unrealistic to have any robust and meaningful life to our people.
“I am not oblivious to the fact that the committee has come up with recommendations. As a Committee of the Senate, we ought to have been alerted with certain indices to come up with recommendations on what should be the adjustment. I am suggesting that the threshold should be N500,000 for individuals per week.”
For Mr Orji Uzor Kalu, he backed the CBN for the policy but suggested that the limit should be N500,000 per day for individuals and N3 million per day for corporates, noting that this “will cover the fear of anybody.”
In her argument, Mrs Biodun Olujimi stated that, “When this issue came out, everyone that spoke on that day agreed on what the CBN was about to do.
“However, we were sceptical of certain issues contained in the proposal. The details were not clear to any of us. If there had been a consultation, we wouldn’t be where we are today. People would have gotten to know what is required of them and what is required of the CBN.
“The CBN approved POS operators and registered them and took money from them, and now those people can only do so little. It took all our unemployed graduates off the street. This policy will send them back to the streets.
“Why is this happening during an election period? Why is it that it is coming now? There is a need to be flexible in what we are doing now.”
Another contributor to the matter, Mr Adamu Aliero, stated that, “This report gives us an ideal picture of what the country should be but in reality, what is happening is different. The informal sector of the economy is very big, and it is not captured in the banking system.
“More people in the rural areas don’t go to the bank, and there is a need for sensitization and enlightenment in order to make this kind of people embrace the banking system.
“We have 774 Local Governments, and the bank covers only about 60% of these local government areas. It is difficult to really force these people to embrace banking culture. I support the idea of the cashless policy, but we should do it with caution.”
“I don’t think that anybody objects to the fact that a cashless society is what we need. My concern comes as a result of us being punitive.
“We must ensure that our society progresses, and those who make efforts to make an additional living should be encouraged. When you look at the measures CBN has put in their policy, to me, it appears punitive. I think in the global best practice, it doesn’t exist, so we don’t deter people from progressing,” the Senator from Anambra State, Ms Stella Oduah, submitted.
After taking inputs from more lawmakers, the Senate agreed that the central bank should considerably adjust the withdrawal limits in response to public outcry on the policy, with the committee tasked to embark on aggressive oversight of the bank on its commitment to flexible adjustment of the withdrawal limit and periodically report the outcome to the Senate.
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited witnessed Santa Claus rally on Wednesday after it closed higher by 0.12 per cent.
Strong demand for Nigerian stocks lifted the All-Share Index (ASI) by 185.70 points during the pre-Christmas trading session to 153,539.83 points from 153,354.13 points.
In the same vein, the market capitalisation expanded at midweek by N118 billion to N97.890 trillion from the preceding day’s N97.772 trillion.
Investor sentiment on Customs Street remained bullish after closing with 36 appreciating equities and 22 depreciating equities, indicating a positive market breadth index.
Guinness Nigeria chalked up 9.98 per cent to trade at N318.60, Austin Laz improved by 9.97 per cent to N3.20, International Breweries expanded by 9.85 per cent to N14.50, Transcorp Hotels rose by 9.83 per cent to N170.90, and Aluminium Extrusion grew by 9.73 per cent to N16.35.
On the flip side, Legend Internet lost 9.26 per cent to close at N4.90, AXA Mansard shrank by 7.14 per cent to N13.00, Jaiz Bank declined by 5.45 per cent to N4.51, MTN Nigeria weakened by 5.21 per cent to N504.00, and NEM Insurance crashed by 4.74 per cent to N24.10.
Yesterday, a total of 1.8 billion shares valued at N30.1 billion exchanged hands in 19,372 deals versus the 677.4 billion shares worth N20.8 billion traded in 27,589 deals in the previous session, implying a slump in the number of deals by 29.78 per cent, and a surge in the trading volume and value by 165.72 per cent and 44.71 per cent apiece.
Abbey Mortgage Bank was the most active equity for the day after it sold 1.1 billion units worth N7.1 billion, Sterling Holdings traded 127.1 million units valued at N895.9 million, Custodian Investment exchanged 115.0 million units for N4.5 billion, First Holdco transacted 40.9 million units valued at N2.2 billion, and Access Holdings traded 38.2 million units worth N783.3 million.
By Adedapo Adesanya
Nigerian food and beverage company, Rite Foods Limited, has extended warm Yuletide greetings to Nigerians as families and communities worldwide come together to celebrate the Christmas season and usher in a new year filled with hope and renewed possibilities.
In a statement, Rite Foods encouraged consumers to savour these special occasions with its wide range of quality brands, including the 13 variants of Bigi Carbonated Soft Drinks, premium Bigi Table Water, Sosa Fruit Drink in its refreshing flavours, the Fearless Energy Drink, and its tasty sausage rolls — all produced in a world-class facility with modern technology and global best practices.
Speaking on the season, the Managing Director of Rite Foods Limited, Mr Seleem Adegunwa, said the company remains deeply committed to enriching the lives of consumers beyond refreshment. According to him, the Yuletide period underscores the values of generosity, unity, and gratitude, which resonate strongly with the company’s philosophy.
“Christmas is a season that reminds us of the importance of giving, togetherness, and gratitude. At Rite Foods, we are thankful for the continued trust of Nigerians in our brands. This season strengthens our resolve to consistently deliver quality products that bring joy to everyday moments while contributing positively to society,” Mr Adegunwa stated.
He noted that the company’s steady progress in brand acceptance, operational excellence, and responsible business practices reflects a culture of continuous improvement, innovation, and responsiveness to consumer needs. These efforts, he said, have further strengthened Rite Foods’ position as a proudly Nigerian brand with growing relevance and impact across the country.
Mr Adegunwa reaffirmed that Rite Foods will continue to invest in research and development, efficient production processes, and initiatives that support communities, while maintaining quality standards across its product portfolio.
“As the year comes to a close, Rite Foods Limited wishes Nigerians a joyful Christmas celebration and a prosperous New Year filled with peace, progress, and shared success.”
By Adedapo Adesanya
The Naira closed the pre-Christmas trading day positive after it gained N6.61 or 0.46 per cent against the US Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEM) on Wednesday, December 24, trading at N1,443.38/$1 compared with the previous day’s N1,449.99/$1.
Equally, the Naira appreciated against the Pound Sterling in the same market segment by N1.30 to close at N1,949.57/£1 versus Tuesday’s closing price of N1,956.03/£1 and gained N2.94 on the Euro to finish at N1,701.31/€1 compared with the preceding day’s N1,707.65/€1.
At the parallel market, the local currency maintained stability against the greenback yesterday at N1,485/$1 and also traded flat at the GTBank forex counter at N1,465/$1.
Further support came as the Central Bank of Nigeria (CBN) funded international payments with additional $150 million sales to banks and authorised dealers at the official window.
This helped eased pressure on the local currency, reflecting a steep increase in imports. Market participants saw a sequence of exchange rate swings amidst limited FX inflows.
Last week, the apex bank led the pack in terms of FX supply into the market as total inflows fell by about 50 per cent week on week from $1.46 billion in the previous week.
Foreign portfolio investors’ inflows ranked behind exporters and the CBN supply, but there was support from non-bank corporate Dollar volume.
As for the cryptocurrency market, it witnessed a slight recovery as tokens struggled to attract either risk-on enthusiasm or defensive flows.
The inertia follows a sharp reversal earlier in the quarter. A heavy selloff in October pulled Bitcoin and other coins down from record levels, leaving BTC roughly down by 30 per cent since that period and on track for its weakest quarterly performance since the second quarter of 2022. But on Wednesday, its value went up by 0.9 per cent to $87,727.35.
Further, Ripple (XRP) appreciated by 1.7 per cent to $1.87, Cardano (ADA) expanded by 1.2 per cent to $0.3602, Dogecoin (DOGE) grew by 1.1 per cent to $0.1282, Litecoin (LTC) also increased by 1.1 per cent to $76.57, Solana (SOL) soared by 1.0 per cent to $122.31, Binance Coin (BNB) rose by 0.6 per cent to $842.37, and Ethereum (ETH) added 0.3 per cent to finish at $2,938.83, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 each.
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