President Muhammadu Buhari, while unveiling the new N1000, N500 and N200 bills shortly before the weekly Federal Executive Council (FEC) meeting at the Presidential Villa, Abuja on Wednesday, said it is difficult to fake the new currency.
He said besides the fact that the exercise was overdue, there was the need to take control of the currency in circulation.
Buhari said that the new naira notes have been fortified with security features that will make them difficult for currency counterfeiters to fake.
He emphasized that the features of the new notes would make them tough for fraudsters to counterfeit.
The President, according to a statement by his Special Adviser on Media and Publicity, Mr. Femi Adesina, expressed delight that the redesigned notes were produced locally by the Nigerian Security Printing and Minting (NSPM) Plc.
“The new Naira banknotes have been fortified with security features that make them difficult to counterfeit,” the President said.
He added that the new notes would help the Central Bank of Nigeria (CBN) design and implement better monetary policy objectives.
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The President, who commended the CBN Governor, Godwin Emefiele, and his deputies for the initiative, also lauded the NSPM Plc management “for working tirelessly with the apex bank to make the currency redesign a reality, and for printing the new naira notes within a comparatively short time.”
Acknowledging that international best practice requires central banks and national authorities to issue new or redesigned currency notes between five and eight years, Buhari noted that it is now almost 20 years since the last major redesign of the local currency was done.
He said: “This implies that the Naira is long overdue to wear a new look. A cycle of note redesign is generally aimed at achieving specific objectives, including, but not limited to: improving security of notes, mitigating counterfeiting, preserving the collective national heritage, controlling currency in circulation, and reducing the overall cost of currency management.
“As is known, our local laws – specifically the CBN Act of 2007 – grants the apex the power to issue and redesign the naira.
“In line with this power, the Central Bank Governor approached me earlier in this year to seek my permission to embark on a currency redesign project. I considered all the facts and reasons presented before me by the central bank.
“There was an urgent need to take control of currency in circulation and to address the hoarding of Naira banknotes outside the banking system, the shortage of clean and fit banknotes in circulation, and the increase in counterfeiting of high-denomination naira notes. It is on this basis that I gave my approval for the redesign of the N200, N500 and N1000 notes.
“While this may not be apparent to many Nigerians, only 4 out of the 54 African countries print their currencies in their countries, and Nigeria is one. Hence, a majority of African countries print their currencies abroad and import them the way we import other goods.
“That is why it is with immense pride that I announce to you that these redesigned currencies are locally produced right here in NSPM) Plc,’’ he said.
Emefiele thanked the President for his unwavering support for the redesign and distribution of the new notes, which, he said, will control inflation, make policies more effective, ensure financial inclusion and fight corruption.
He also noted that by international best practice, the redesign of notes should be every five to eight years, and the currency in circulation had been in usage for 19 years, with spiraling challenges on the economy, especially on security and counterfeiting.
Appreciating the President for his insistence that the initial notes must be designed and produced locally, Emefiele said it was a renewal of confidence in the NSPM Plc.
He said: “Mr. President, only a President of your esteemed and incorruptible stature could have done what we are witnessing today.”
The CBN boss listed the benefits of the redesigned naira notes to include enhanced security, greater durability, attractiveness and promotion of rich cultural heritage.
