Nigeria’s economy is grinding to a halt and has lost about N20tn following the over 70 per cent mop-up of cash by the Federal Government through the Central Bank of Nigeria, a new report by an economic think tank, Centre for the Promotion of Private Enterprise said on Sunday.
It said the protracted acute cash scarcity had not only crippled economic activities across the country, but was now a major risk to the livelihoods of most Nigerians. “Millions of citizens have slipped into penury and destitution as a result of the disruptions and tribulations perpetrated by the currency redesign policy, especially the mopping up of over 70 per cent of cash in the economy,” the Director, CPPE, Dr. Muda Yusuf, stated, while reacting to the currency redesign policy.
Calling for an urgent intervention by the President, Major General Muhammadu Buhari (rtd.), he stressed that “Nigerians have not been this traumatized in recent history.” Yusuf added, “The economy is gradually grinding to a halt because of the collapse of payment systems across all platforms. Digital platforms are performing sub-optimally because of congestion; physical cash is unavailable because the CBN has sucked away over 70 per cent of cash in the economy; and the expected relief from the Supreme Court judgement has not materialised.