The Central Bank of Nigeria (CBN) cannot enforce laws against violators of the currency or financial rules of the bank, officials have said.

They stated this during an interaction session with the organised labour in Calabar, Cross River state at the weekend, where CBN announced its five year financial policy for 2019 to 2024.

The response was due to reported cases of people spraying currency notes at ceremonies. The acting Director, Corporate Communications, Osita Nwanisobi who represented CBN Governor Godwin Emefiele, said the apex bank is not empowered to enforce sanctions.

“CBN is not a law enforcement agency. But we completely frown at such an attitude where the national currency is not accorded its due respect as other nationals do their currencies”, he said.

He warned seriously against mishandling, defacing, rough-treating the Naira, saying the federal government spends much to print it, and the cost is usually borne by the people in the long run.

What this means

The act of spraying money, although embedded in the Nigerian party culture, is a violation of the Federal Government’s law against defacing the naira note.

The CBN’s aim is to boost confidence in the naira and is strongly against situations that depict the naira in a less valuable light. However, the CBN does not have the power to enforce this law and may need further collaboration with other agencies such as the Police and EFCC.

What you should know

Following the lavish spraying of cash at the burial ceremony of the mother of popular Nigerian businessman and socialite, Obi Iyiegbu, a.k.a Obi Cubana, there have been renewed calls for the CBN and other security agencies to arrest and prosecute culprits.

In June 2021, the CBN emphasized “Spray naira notes and go to jail”.

The apex bank condemned the rate at which Nigerians mutilate, deface, squeeze and even spray and sell the naira notes.

It that “abuse of the currency attracts a penalty of not less than six months or a fine of not less than N50,000 or both.”

In his presentation, an Assistant Director at the Currency Operations Department, Aladeen Badajo urged the people to consider Nigeria’s currency as a symbol of national identity.

Badejo who stressed the need to handle the banknotes with care and dignity expressed concern over the huge amount being spent on reprinting them.

He said, “Abuse of the currency attracts a penalty of not less than six months or a fine of not less than N50,000 or both.”

CBN working with EFCC, police to arrest people who spray naira notes at parties

The apex bank, in a statement on Tuesday, said the warning was necessitated by the recent activities by those who flagrantly abuse the legal tender by “spraying, dancing or matching” on it at parties.

“The attention of the Central Bank of Nigeria (CBN) has again been drawn to the activities of persons, who flagrantly abuse the legal tender by hurling wads of Naira notes in the air and stamping on the currency at social functions,” the statement signed by Osita Nwanisobi, CBN’s spokesperson, reads.

“There have also been cases where people mishandle the Naira, deface it, hawk the currency at parties and reject the currency in some instances.

“It should be stated that, contrary to the practice of these unpatriotic persons, it is neither cultural nor moral for people to disrespect the currency which citizens trade in.

“For the avoidance of doubt, Section 21(3) of the Central Bank of Nigeria Act 2007 (As amended) stipulates that “spraying of, dancing or matching on the Naira or any note issued by the Bank during social occasions or otherwise shall constitute an abuse and defacing of the Naira or such note and shall be punishable under the law by fines or imprisonment or both.”

The apex bank disclosed that it is working with law enforcement agencies to arrest and prosecute people caught abusing the naira.

“Accordingly, the Central Bank of Nigeria is collaborating with the Nigeria Police, Federal Inland Revenue Service, the Economic and Financial Crimes Commission and the Nigerian Financial Intelligence Unit to address the unpatriotic practice,” the statement added.

“We, therefore, warn Nigerians, particularly those at social functions such as birthdays, weddings and funerals, to desist from disrespecting the Naira or risk being arrested by law enforcement agencies.”

“The Naira is our legal tender and symbol of national pride. Let us respect it and handle it with care.”