Business

CBN debunks plan to redenominate Naira

CBN, cybersecurity

Urges Nigerians to disregard currency redenomination rumour

By Temiyooe Adebayo

The Central Bank of Nigeria (CBN) has denied plans to redenominate the naira, saying, the statement credited to it on the various social media platforms are fake.

Messages making the rounds on social media platforms such as WhatsApp and Facebook claim that the CBN plans to introduce a new naira policy that will see the naira being redenominated.

However, the apex bank yesterday said, the message currently circulating on social media is false and should be disregarded. The CBN, in 2007, under the governorship of Professor Chukwuma Soludo had mulled the idea of redenominating the naira but the policy never saw the light of day.

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The currency redenominating plan was part of a four point agenda in 2007 to make the Naira the ‘Reference Currency in Africa,’ as part of the Financial System Strategy 2020 (FSS2020).

Currency redenomination is the process where a new unit of money replaces the old unit with a certain ratio. It is achieved by removing zeros from a currency or moving some decimal points to the left, with the aim of correcting perceived misalignment in the currency and pricing structure, and enhancing the credibility of the local currency.

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