Experts call for urgent solution to naira scarcity as MPC holds meeting

Some financial experts have urged the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) to take urgent steps to address the perennial shortage of cash.

The experts spoke to the News Agency of Nigeria (NAN) on Monday in Abuja, against the backdrop of the 290th meeting of the MPC.

The meeting is scheduled to hold on Monday and Tuesday.

According to a financial expert, Mr Okechukwu Unegbu, the MPC should discuss the cash situation as a matter of priority.

Unegbu, a past president of the Chattered Institute of Bankers of Nigeria (CIBN), said that the apex bank’s claim of circulating more than N900 billion did not reflect on the Nigerian economy.

He, however, said that the problem would likely ameliorate as elections had been concluded in the country.

“Our biggest challenge presently is the cash situation, and I think the committee should discuss it as a matter of urgency.

“The CBN says it has over N900 billion in the system, but it is not reflecting because cash is still scarce.

“But I believe that with the elections over, cash will start to circulate,’’ he said.

He urged the committee to also address the “rumblings in the economy’’ in terms of inflation and exchange rates.

On the policy rates, Unegbu advised for retention of all existing parameters until the next meeting.

“I suspect that because of rising inflation, which is now 21.91 per cent, according to the National Bureau of Statistics (NBS), the MPC may be tempted to raise the rates again.

“But my suggestion is that all the rates should be held constant to allow the MPC study the situation until its next meeting,’’ he said.

Another financial expert, Mr Muktar Muhammed, urged the apex bank to explain to Nigerians the reasons why Naira notes were still scarce.

On policy expectations, Muktar said the MPC would have liked to increase the prevailing rates but could be discouraged by the already high inflation rate.

Ordinarily, we could see a hike in rates but as it stands now, because of the Naira shortage and what it has done to the economy, I do not think they will want to do that.

“Again, inflation is already high and I do not see how hiking rates, alongside the cash shortage will help the economy grow better,’’ he said.

According to Uche Uwaleke, a

Professor of Capital Market at the Nasarawa State University, Keffi, the use of cash scarcity to stifle demand is not a sustainable way to tackle inflation.

Uwaleke said that such a step could hurt economic growth and could lead to loss of jobs thereby, fuelling unemployment.

“Going forward, the CBN should ensure that measures are put in place to ease the cash crunch while gradually implementing its cashless policy.

Inflation rate rose from 21.82 per cent in January to 21.91 per cent in February, the economy witnessed a slight downward pressure in the general prices of commodities.

Global Surveyors’ Day: NIS tasks Nigerians to engage qualified Surveyors, donates food items to orphanage

From: Femi Oyelola, Kaduna

The Chairman of Nigerian Institution of Surveyors (NIS) Kaduna state Chapter Surv. Daudu Andrew has charged members of the public to always engage qualified surveyors in their building projects to avoid incidents of building collapse. He asserted this during a press Conference to commemorate the 2023 Surveyors Global Day held in Kaduna yesterday.

Surv. Daudu Andrew explained that surveyors and survey plans were crucial in any building construction all over the world.

He said Surveyors were indispensable experts needed for accuracy in infrastructural planning and development across all sectors in the nation.

The NIS Chairman also advised surveyors, to take their rightful place as the bedrock of development, while calling on all professionals in the construction industry to restrict practice areas of competencies.

He, however expressed dismay over not being carried along by the government, but said the institution is working tirelessly to turn the clock around and surveyors are accorded their right places by government.

By Christiana Ekpa

The Presidential Candidate of the Labour Party, Peter Obi has frowned at the continued delay in releasing the governorship results of Abia and Enugu states and charges the Independent National Electoral Commission, INEC, to accelerate their action and announce his party as winner.

He noted that further delay will question the commission’s intent and credibility of the election.

The Former Anambra state