The Nigerian Association of Small-Scale Industrialists, NASSI, has rejected calls for the introduction of higher-value currency notes. The group recently warned that the proposed move would not end Nigeria’s economic and currency issues.
In an interview with The PUNCH, OPS and NLC described the proposal as “ill-timed, elitist, and economically risky.”
The National Vice President of the Nigerian Association of Small-Scale Industrialists, Segun Kuti-George, revealed that introducing a N20,000 currency note would only benefit the rich and go against the government’s digital economy agenda.
According to him, introducing higher-value currency notes will only worsen inflationary pressures, and anything beyond a N2,000 note is simply not practical.
“Such a policy could worsen inflationary pressures. The mere consideration of these denominations reflects underlying inflationary trends, and their introduction would likely escalate them further.
If at all necessary, a N2,000 note could suffice, but anything beyond that is neither practical nor economically sound for our current realities,” he said.
Segun further noted that the proposal will only enable the rich to stockpile large sums of cash in private vaults more seamlessly.
He concluded by warning that introducing N10,000 and N20,000 notes would further diminish the value of the naira.
“At a time when the nation is deliberately encouraging reduced cash transactions and promoting more secure and efficient digital payment systems, issuing higher denominations would only take us backwards.
Doing such a thing isn’t going to have a positive impact on the poor; it is the rich that will be agitating for it because they want to use it to stock corrupt money,” he added.
