CBN Warns: Naira Abuse Increasing Printing Costs
The Central Bank of Nigeria (CBN) has expressed concern over the rising cost of printing and replacing banknotes, attributing the trend to widespread abuse of the naira.
The warning came on Wednesday, September 24, during the launch of a nationwide sensitisation campaign on proper naira handling in Abuja. Representing the Deputy Governor of the Operations Directorate, Dr. Bala Bello, the Director of Currency Operations and Branch Management Department, Dr. Adedeji Adetona, noted that careless practices are damaging the currency and eroding its symbolic value.
“The naira is not just a medium of exchange. It embodies our national pride, sovereignty, and shared destiny. Sadly, practices like folding, tearing, spraying at social events, writing on notes, and outright mutilation degrade its dignity and increase the costs of sustaining it,” Bello said.
He cautioned that if the trend continues, Nigerians would bear the consequences through higher printing costs, daily transaction frustrations, and declining confidence in the national currency.
The campaign, Naira Our Pride: Handle with Care, seeks to promote behavioural change and instill respect for the currency. Bello emphasised that the success of the initiative requires collaboration across all sectors, including banks, transport unions, traders, schools, civil society, religious institutions, and the media.
“Every stakeholder has a critical role. Banks must keep fit notes in circulation and educate customers, markets and transport operators must discourage abuse, while the media and civil society must amplify the message. Ultimately, every Nigerian must see themselves as custodians of the naira,” he added.
He also cautioned against hoarding cash, especially with the festive season approaching. “Cash hoarding harms us all. It denies others access to cash, disrupts circulation, and puts undue strain on the system. Collaboration is important. I therefore call on all stakeholders to encourage responsible cash use, promote alternative payment platforms, and help curb hoarding practices,” he urged.
Bello emphasised that careful handling would extend the lifespan of banknotes, reduce unnecessary expenses, and preserve the naira’s role as a unifying national symbol. He added that the sensitisation campaign would be extended to every state and community across Nigeria.
Delivering a welcome address, Dr Adedeji Adetona, represented by Deputy Director Kazeem Olatinwo, said the campaign was not only about clean notes but also about national pride and confidence in the financial system. He assured citizens that adequate measures had been taken to ensure sufficient cash supply during the upcoming yuletide.
“As we approach the festive period, the Bank has made sufficient arrangements to ensure an adequate supply of banknotes to meet demand nationwide. What is needed is proper handling to keep our notes clean and fit for use,” he said.
Also speaking, Acting Director of the Corporate Communications Department, Hakama Sidi Ali, reminded Nigerians that issuing legal tender and ensuring the circulation of clean notes are core mandates of the CBN under the CBN Act 2007. She urged citizens to take ownership of efforts to protect the integrity of the naira and encouraged wider use of alternative payment platforms to ease pressure on physical cash.
The warning comes against the backdrop of rising currency management costs. Earlier this year, The PUNCH reported that the CBN spent ₦315.18bn on currency issue expenses in 2024, a more than 300 percent increase from ₦77.67bn in 2023. These expenses cover the printing, processing, distribution, and disposal of banknotes. Analysts attributed the sharp rise to the large scale printing of new notes, the logistics of nationwide distribution, and the destruction of old and damaged bills.
