University Don reveals that CBN’s new policy will lead to more job losses, disorganize businesses

A lecturer at the Department of Economics, Ahmadu Bello University, Zaria, Professor Ishaq Modibo, has kicked against the new cash withdrawal policy imposed by the Central Bank of Nigeria.

Track News recalls that the Central Bank Of Nigeria, on Tuesday, imposed fresh cash withdrawal limits on individuals and organisations.

The new policy, which takes effect from January 9, 2023, as indicated in a memo to banks issued on Tuesday and signed by the Director of Banking Supervision, Haruna .B. Mustafa, stated that individuals would only be able to withdraw N100,000 per week (from over the counter, Point of Sale Machines or the Automated Teller Machines), while organisations can access N500,000 per week.

Banks have also been directed to load only N200 and lower denominations into their Automated Teller Machines.

Reacting on Wednesday morning in Kaduna, Professor Ishaq Modibo, a senior lecturer, noted that the new policy, if implemented, would cripple the economy, leading to more job loses

According to him, all Point of Sales Operators (POS) will lose their jobs since the CBN has fixed a daily withdrawal limit of N20,000 per day, adding that business transactions involving cash withdrawal would equally disappear as the policy would make people poorer.

He further stressed that those many rich Nigerians would get poorer, as they would no longer have access to their money, adding that there would be a scarcity of money in circulation, which would badly affect the economy.