While many Nigerians have been left wondering whether their quest for
lower value Naira notes, especially coins, may ever come to fruition by
the Central Bank of Nigeria (CBN), Aminu Imam reports that many ordinary
citizens, particularly traders, commercial vehicle owners and commuters,
are crying out to the concerned authorities over the persisting lack of
lower currency denominations in the Nigerian financial system.
As about 85 percent of the nation’s daily transactions are estimated to be
conducted in cash, it is becoming a daily hassle for most ordinary
Nigerians to access lower currency denominations, so much so that the
issue of one getting ‘ordinary change’ in lower denomination of Naira
notes has become a daily nightmare for most Nigerians.
It has become almost a crime now in Nigeria to walk into a restaurant or
supermarket, or board a commercial vehicle and not hold your own change.
After buying stuff and trying to pay, the first thing you hear is
something like, ” Hold your change o!”
Since when did it become a customer’s duty to hold his or her change? And
since when did Nigerians have to pay the price for not having that said
change?
Most businesses only require lower currency denominations for petty-cash
purposes, which are not frequently a significant amount. For retailers and
others dealing directly with the public, there is often the need to pay in
substantial amounts of cash in different denominations of notes.
A fried yam seller at Kasuwar Barci market in Kaduna, who spoke to our
correspondent, but preferred anonymity, described the problem of change in
her business as ‘seriously’ affecting her business. “Actually, we get
serious problem with small changes with customers like if somebody comes
with N1, 000 or N500, because some people will not even buy if you don’t
have change. They will ask you first”.
However, despite the agreeing with the problems associated with larger
denominations, the yam seller doesn’t believe that the attempt last year
by the CBN to introduce N5, 000 notes would have solved the problem. She
said, “I think the problem will even get worse if CBN brings out new N5,
000 notes. Even now, we encounter problems of changing N1, 000 or N5, 00
notes, so if it’s N5, 000 it will be worse.”
A conductor with one of the Mass Transit Buses, popularly known as
“subsidy bus”, who could barely speak because of emotion opined that they
used to tell passengers to hold their change before they enter such buses,
because of the challenges they face. He stated that they waste long time
looking for change, especially when a passenger is dropping before they
reach their bus stops, which according to him affects their bottom line.
“We dey tell passengers to hold change for hand before they enter. Na
because of the problem we get; na im be the reason we dey tell passengers.
We fit stay long on the way before we get change. The problem e no be
small ooo”, he lamented.
When pressed to talk about his opinion if CBN introduces coins this year,
the conductor frowned his face, and answered thus: “For this kind our
work, if you come bring coins, we no fit collect am, I tell you, bros; For
where we go keep am?” he angrily queried.
Also, a mechanic along Nnamdi Azikiwe expressway, also in Kaduna, Malam
Hassan, said that he often encounter problems with the issue of change. He
cited the nature of his business and the fact that he, most times, deals
with commercial transport.
When asked whether he would welcome the introduction of new N5, 000 notes,
Hassan stated that it wouldn’t affect his mechanic business much. “If they
bring N5, 000 notes, it will make no difference to my business, because I
deal with lower notes.” On lower denominations coins, he claimed “most
people will not be going round with coins in their pockets, so you see
they won’t last before they disappear.”
According to a bus driver in Jabi, Felix Emmanuel, “Sometimes, we find it
difficult to give our passengers change and it affects our business”.
Could you believe a passenger will give you N1, 000 from Area 1 to Berger,
how can you manage to find a change? Especially when you just came out in
the morning; to me, I find it difficult to leave change for any passenger
because the gain is not much.
The botched planned introduction of N5, 000 note by the CBN would surely
have affected many businesses in Nigeria where people are suffering in
their daily search of livelihood. Whenever you go to the market with huge
amount to buy foodstuff of N500, where do you expect the trader to find a
change? It’s either you as the buyer forfeit your change or the seller
does, which will surely affect your budget as the buyer and in turn affect
the seller, because he might not meet up with his/her profit at the end.
According to a taxi driver, Suleiman Abdullahi, having the requisite
change is very important in every business because according to him, “It
gives you rest of mind, any time you have passengers and issue their
change to them without any hitches.
On the issue of the N5, 000 notes by CBN, he said, “It is a good idea, in
terms of travelling safely with a large amount of money without being
noticed by thieves or hoodlums; also, it will make transactions easier and
faster as one can be able to keep a large amount in his house or office
for business transactions”.
However, he noted that when carrying out a transaction, one sometimes find
it difficult to buy some items in the market as sellers refuse to accept
higher denominations because of change. This will surely affect the
seller, according to him, who is likely to take longer time before selling
his goods and “it would also affect the buyer if he/she is pressed to buy
the goods, leaving his change behind. It will also affect the economy,
putting more hardship to the poor.
Cash is still the king of transaction in the country, even in Lagos state
and therefore the availability of lower denominations is a task for the
CBN. The amount of the huge loss to the country arising from aborted
transactions due lack of appropriate ‘change’ can best be imagined. Even
the Automated Teller Machines (ATMs) dotting the country’s landscape for
now dispense minimum of N500 currency notes.
Most people especially the affluent of the society may see this as a small
issue as they are wont to leave their change rather than face the hassle
of, “No change o”; but for the rest of most Nigerians like us, they are
left to bear the brunt of endless frustrations, often times degenerating
into quarrels and fisticuffs.
It has therefore become imperative that the CBN should come to their
rescue so that real change can be evident.
Aminu Imam wrote from Kaduna and can be reached on aminimam@gmail.com
+234-803-364-4990