The Central Bank of Nigeria (CBN) has taken a firm stance against the illicit flow of mint naira notes to currency hawkers and unscrupulous agents.
The CBN, has imposed a hefty fine of N150 million per branch on Deposit Money Banks found guilty of facilitating this illegal practice.
The move, announced in a circular issued on Friday, December 13, 2024, by the Acting Director of the Currency Operations Department, Mohammed Olayemi, comes as a response to the growing concern over the increasing prevalence of mint naira notes being traded by hawkers, which the CBN believes impedes efficient and effective cash distribution to customers and the general public.
The CBN has outlined measures to enforce compliance, including increased periodic spot checks in banking halls and ATMs and deploying mystery shoppers to uncover illicit cash hawking spots across the country.
The apex bank has also warned that subsequent infractions will attract even stricter sanctions under the Banks and Other Financial Institutions Act (BOFIA) 2020 provisions.
Meanwhile, On Monday, the Naira appreciated slightly to N1,660 per dollar in the parallel market, improving from N1,662 per dollar recorded last weekend.
In contrast, the daily Nigerian Foreign Exchange Market (NFEM) report published by the Central Bank of Nigeria (CBN) indicated that the Naira depreciated in the official foreign exchange market, with the exchange rate falling to N1,550 per dollar from N1,540 per dollar, marking a decline of N10.
Further data from FMDQ showed that the indicative exchange rate also weakened, decreasing to N1,545.1 per dollar compared to N1,533 per dollar last Friday.
Despite these opposing trends, the gap between the parallel market and the official exchange rate narrowed significantly, dropping to N110 per dollar from N122 per dollar recorded last Friday.