Don calls for currency modification to check speculation

Prof. Sherrifadeen Tella of Olabisi Onabanjo University, Ago-Iwoye, Ogun, on Thursday called for a modification of the Naira to check the activities of currency speculators.

Tella, who is of the Department of Economics, made the call during an interview with the News Agency of Nigeria (NAN) in Lagos.

According to him, the Central Bank of Nigeria (CBN) should change the colours of N1000 and N500 notes to force currency hoarders to bring out the unbanked money in their possession.

The economist said that there was excess unbanked Naira in the hands of a few Nigerians whose stock in trade was currency speculation.

He said that the activity of currency hoarders was putting undue pressures on the Naira, thereby leading to its free fall at the parallel market.

“The solution is to check their activities. The CBN should change the colours of N1000 and N500 notes respectively to force speculators to release money into the economy,’’ Tella said.

He added that the CBN should follow the proposed policy with a warning to commercial banks not to allow people to change their excess Naira into foreign currencies.

NAN reports that the apex bank had earlier said that the activities of currency speculators were impacting negatively on the nation’s currency. (NAN)