To mop Up The Excess Liquidity In Circulation Through Redesigning Of Naira, Is A Right Step In A Right Direction.---- High Chief Michael Kayode Ajayi . By Favour Augusta Eke

 High chief, Michael Kayode Ajayi, A retired  General Manager Of Nigerian Ports Authority(NPA) A

Public Affairs, Economic Analyst,  Made An Urgent Called To The CBN Governor, Mr Godwin Emefiele,To Maintain the date and  His Idea to Redesigning Nigerian Currency, Naira Notes.

High Chief K. M.Ajayi Made this called when having an executive interview with the news men in Abuja, On October 30th 2022.

In his speech, he expressed and Highlights his thoughts towards the relevant information affecting Nigeria economy, most especially regarding to the recent announcements on the Move to  redesigning of naira #1000, #500, #200 notes by Mr Godwin Emefiele, CBN governor.

According to him, The step taken by the CBN Governor is a right step in a right direction, though the changing of the Naira is coming too late, But he appraised  the CBN governor, Mr Emefiele by saying that , he has taken a giant step of redesigning naira notes to stabilize our naira, considering the enormous challenges facing Nigeria economy.

In respect to the public lecture he delivered 2006, he made  it very cleared  at chartered institute of credit administration few years back during the Jonathan era that Nigeria was witnessing excess liquidity and it was putting undue pressure on Naira notes but nobody observed it at that time because we had a lot of dollars in our excess crude oil account. So it was impossible for Nigerian to see what he saw then.

He hereby urge the chartered institute of credit administration to publish his speech in their journal and he thereby call on the CBN governor and Nigeria government to find a way to mop up the excess liquidity in circulation by changing the colour of the naira. for instance, the president modi of India did the same thing, America government change the colour of hundred dollar note from black to sky blue, Even, peninsula did their own in 2020.

He added that when you have excess liquidity in the system and you noticed that there is high level of corruption in the system and as well you want to reset the economy, the best thing is to change the design of the naira.

This will make it possible for CBN to suck in the excess liquidity and began to control the release of the money to the economy. He believed by doing this, our naira we have more value.

He further said that excess liquidity made our naira worthless and in other to solve this problem, CBN imposed certain percentage on the banks which was deposited with central bank but yet it has not solve the problem.

He Highlighted that recently, CBN governor came out to tell Nigerians that 80% of the money that suppose to be in circulation are hiding somewhere and not in the banking vault.

So he believed that CBN has to take extra ordinary step to bring in 80% in question into the bank.

He also stated that it was alleged the total money in circulation is about 23 trillion.so,he believed that without this redesigning policy, our naira will not be appreciated our economy will be in disarray.

Further more,the CBN has taken wrong steps in the past which seriously affect the economy of the country. firstly, the printing of naira through waste and means without following the due process of not printing the naira above the 5% benchmark of the previous years GDP. secondly, the issue of devaluation of naira of which he believed it does not fit in into the economy structure of Nigeria.

He stressed further, by citing the press conference of late sage, chief Obafemi Awolowo in 1983,at the Murtala international airport, took time to educate Nigerians that the devaluation of naira does not fit in into Nigeria economy structure. thirdly, he mentioned baby feeding approach of Mr Emefiele through its interventionist policies such as anchor borrower system, money released to energy sector, extra budgeted spending and as well 350 billion that was released to aviation sector, He made it cleared that all these intervenes policies are good on paper but has not brought succor or relieve to common man.

On  the issue of the continous falling of naira,high chief explained that Nigeria national petroleum corporation (NNPC)that ought to bring in dollars is no longer bringing in dollars anymore, stressing that the dollars earned are used to buy finished product, that is PMS, also derivative from crude oil is no longer there because all the refineries are dead.

On the critics of Mr Emefiele’s naira notes redesigning policy, he made reference to the honourable minister of finance claimed in her appearance before the Senate committee of finance that she was not consulted and advised them to invite Mr Emefiele for more clarification,, chief Ajayi made it cleared that Mr Emefiele has not done anything wrong and he acted within the purview of 2007 CBN act as amended. According to him, the CBN governor has no explanation to anybody after the approval of the president to that effect.

Also, a Muslim clerics, sheikh gumi, one of the critics of this Noble policy recently held a press conference, stated that the policy will led to the demanding of dollars by the kidnappers.

High chief asked the cleric whether his their spokesperson or he knows their minds or advising them to be demanding for dollars.He urged the security agencies to invite the cleric for further explanation.

On the Solutions to the above listed problems, high chief maintained that the success of this redesigning of naira notes rest on the shoulders of anti corruption agencies, he urged them to begin to monitor the bankers and the bank managers that want to ensure they get the money through the backdoor.

The Economic Analyst therefore charged the anti corruption agencies, ( ICPC,EFCC) to ensure proper monitoring of bureau the change operators who are the conduit pipe of corruption in Nigeria.

Expectedly, high chief employed apex bank to embark on massive public enlightenment for the general public to know the importance of this noble policy that if properly implemented will go a long way in addressing the issue of economy challenges facing Nigeria at this point in time.

High chief M.K.Ajayi, reassured Nigeria that the redesigning of naira notes policy by Mr Godwin Emefiele is the right step in good direction and will stabilize the naira in the long run.