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‘It will help the economy’ — Masari backs CBN’s cash withdrawal policy

 

Aminu Masari, Katsina governor, says the new cash withdrawal policy introduced by the Central Bank of Nigeria (CBN) will help the country’s economy.

 

Masari spoke to journalists after a meeting with President Muhammadu Buhari in his hometown in Daura, on Saturday.

 

The new policy limits weekly over-the-counter cash withdrawals by individuals and corporate entities to N100,000 and N500, 000, respectively.

 

Since it was introduced on Tuesday, the CBN has been criticised by aggrieved individuals.

 

Aminu Gwadabe, president, Association of Bureaux De Change Operators of Nigeria (ABCON), said the policy would put pressure on the naira, causing it to further depreciate.

 

He said while the policy will discourage the use of cash, it “is not sufficient to address the challenges inherent in the cash base sub-sector”.

 

Similarly, Ahmadu Fintiri, governor of Adamawa, said the cash withdrawal policy was targeted at the political class, and would further throw the country into poverty.

 

However, taking a different view from his Adamawa counterpart, Masari has thrown weight behind the CBN policy.

 

“What is wrong with it except one who stockpiles millions in his house and is afraid to bring it,” he said.

 

“It will help the economy. Now, all the money has not been in the banking sector. The central bank governor said that they have mopped over N1 trillion into the banking sector which was stashed in soakaways and other places.

 

“We believe by the end of the transition to the new currency, the remaining trillion will be back in the banking sector. I think it is very good for the economy.”


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