In an attempt to reduce the volume of cash baggage and security exposure in cash transactions, the Central Bank of Nigeria, CBN, has Thursday evening announced that it is going to introduce N5,000 note into the system. It also added that it would reduce existing N5, N10 and N20 notes to coins by early 2013.
The CBN Governor, Lamido Sanusi, who disclosed this at a news conference in Abuja, said the notes and coins were being introduced under the bank’s currency restructuring exercise tagged “Project Cure.”
Sanusi said the coins, would include 50k, N1, N2, N5,N10 and N20, while the bank notes would be N50, N100, N200, N500, N1,000 and N5,000.
According to him, the faces of three prominent Nigerian female activists are to be used on the new note. They are those of late politician and social mobiliser, Margaret Ekpo (1914 – 2006); late politician and activist Hajia Gambo Sawaba (1933 – 2001) and late politician and women’s right activist Funmilayo Kuti (1900 -1978).
He said: “On November 28, 2011, the CBN board considered and approved the new currency series. It subsequently sought and on December 19, 2011 obtained the approval of the President, Dr. Goodluck Jonathan.
“Under the new structure, the existing denominations of N50, N100, N200, N500 and N1000 will be redesigned with added new security features.
“It is our pleasure to inform you that a new high currency denomination will be introduced. It is the N5, 000 note,” he said.
“Inflation in Nigeria is a monetary phenomenon; secondly, in some countries such as Singapore, Germany and Japan, the highest denominations are 10,000SGD, 500 Euros and Yen 10,000 respectively.
“These denominations have relatively high dollar equivalent. The levels of inflations are, however, lower at 2.8, 1.1 and -0.7 as at 2012.”
He said the bank would liaise with relevant Ministries, Departments and Agencies, deposit money banks, road transport workers, market operators, small businesses, supermarkets and vendors among others, to encourage the use of coins.
“We will ensure that coins collection is convenient and the infrastructure readily assessable,” he said.