How CBN cash policy stopped tipping, hit beggars

The two-month cash crunch caused most Nigerians untold hardship.

The Central Bank of Nigeria, CBN, had introduced the policy to strengthen the Naira, curb money laundering and stop vote-buying the 2023 general elections.

The apex bank had also explained that the new policy would help to limit the use of cash for illicit activities such as banditry and terrorism financing

According to the CBN, people who have earned money through illegal ways would be afraid to declare it as they may be prosecuted by the Income tax department on the legitimacy of their income.

President Muhammadu Buhari also affirmed that the new cash policy will check vote buying during the 2023 general elections.

During his address in the heat of the cash crisis, Buhari told Nigerians that the policy will contribute immensely to the minimization of the influence of money in politics and it will lay a strong foundation for free and fair elections.

Track news findings show that beggars, who ordinarily earn their living through alms, were the most affected by this policy as they found life very unbearable during this period.

Giving tips to bank security officers, bouncers at clubs, waiters, cleaners and gatemen, as well as offerings in churches reduced drastically.

During this time, Nigerians were forced into paying for goods and services through cash transfer and Point of Sale, POS.

The rate of poverty in the country which places over 65% of Nigerians below poverty line has over the years swelled the number of beggars in the country.

Most Nigerians earn their living from what they get from others.

An Abuja-based businessman, Enewo Nzenwa, who told Track news that he always tips beggars and gives money to his gateman and people around him, said during the period in question, he could not give because he found it difficult to get cash.