Kingsley Moghalu, a former CBN deputy governor, has criticised the short window for the central bank to implement its new policy to redesign select naira notes.

Mr Moghalu, who made the assertion in a statement on Saturday in Lagos, said that though he “fully supports the Central Bank of Nigeria in redesigning of the Naira,” the window for implementation was, however, too short.

“A 90-day window would have been better, but one can understand the need to avoid interfering with the elections,” Mr Moghalu said.

The former CBN boss said the short window was going to put “a lot of operational pressure on commercial banks and the financial system in general.”

Mr Moghalu had earlier in a series of tweets, said that it was doubtful that the new policy would curb inflation and increase in food prices.

The CBN on Wednesday announced the new monetary policy to redesign the 200, 500 and 1000 naira notes with effect from December 15.

The Governor of the CBN, Godwin Emefiele, had said that the proposed redesigning of the naira could impact positively on its value.

Mr Emefiele had said that significant hoarding of banknotes by members of the public, worsening shortage of clean and fit banknotes and increasing cases and risk of counterfeiting informed the decision.

According to him, statistics show that more than 85 per cent of currency in circulation are outside the vaults of commercial banks.

Mr Emefiele said the new currencies and the existing ones would remain legal tender and circulate together until January 31, 2023.

(NAN)