By Gloria Ogbonna
Amid lingering cash shortages in Nigeria, the Nigeria Labour Congress (NLC) expressed deep concerns over the adverse impact on citizens, particularly during the festive season. The NLC, through its National President Joe Ajaero, urged immediate steps to address the crisis, warning of potential mass protests if the naira shortage persists.
Despite assurances from the Central Bank of Nigeria, bank customers face difficulties accessing cash, encountering cash rationing at banks and non-functioning ATMs. The NLC cautioned the Federal Government and the Central Bank, emphasizing the possibility of public outrage if the situation remains unaddressed.
Ajaero highlighted the anguish caused by a previous cash crunch earlier in the year and criticized the lack of clarity on the current scarcity. He questioned the reasons cited, such as an increase in fake notes and alleged hoarding, deeming them unacceptable excuses. The NLC expressed concerns that citizens are left struggling to access their own money, resorting to spend extra on necessities and facing challenges in everyday banking transactions.
The labour union noted the exorbitant charges imposed by Point of Sale (PoS) operators, impacting the income of impoverished Nigerians. They stressed the burden placed on citizens and the negative impact on the financial system's stability, urging the government to swiftly address the cash crunch to alleviate economic strains during the festive period.
The report highlighted ongoing cash shortages observed in banks across Abuja and South-Western states, with ATMs failing to dispense cash and bank officials citing difficulties in receiving cash disbursements from the Central Bank.
Despite the Central Bank's assurances of adequate liquidity, the ongoing scarcity challenges the public's trust in the financial system. Industry experts and officials voiced concerns about the prolonged scarcity's root causes and its adverse effects on the nation's economy.
In the wake of this crisis, the NLC appealed for immediate measures to alleviate the cash crunch and ensure sufficient liquidity in the economy, urging clear communication and transparent steps from the government and financial institutions.
Source punch.
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