CBN Breaks Silence Over Alleged Plans To Convert Domiciliary Accounts Into Naira

To set the record stright, the Central Bank of Nigeria, CBN, says it has no plans to convert domiciliary account holdings valued at 30 billion dollars into Naira.

The CBN’s Acting Director, Corporate Communications Department, Hakama Sidi-Ali, made the clarification in a statement in Abuja on Saturday.

……Mrs Sidi-Ali’s statement was a reaction to a media report that the apex planned to convert domiciliary accounts into Naira, to address the unending depreciation of the local currency.

“The attention of the CBN has been drawn to a story published by a national newspaper, alleging that the Federal Government is considering converting 30 billion dollars domiciliary deposits to Naira. This allegation is absolutely false and aims to trigger panic in the foreign exchange market, which the CBN is working assiduously to stabilise, as evidenced by its recent work and policy directions.

“Similar false narratives have been spread on the work of the CBN over the past few months and it is clear that vested interests are determined to sabotage our efforts,” she said.

She assured that the CBN was working to build confidence and would never do anything to undermine the currency and the economy.

However, she urged all stakeholders to disregard stories aimed at causing panic in the system and see them as acts of national sabotage.

“We wish to advise, in the strongest terms, against the peddling of false reports that have the potential to be disruptive to the economy.

“The CBN is the only designated authority for monetary policy changes and will always advise on any policy changes before they are brought into operation. The CBN is always open to answer questions about our policies,” she said.

The Naira has been on a free fall in the last few days, exchanging at N1,500 to the dollar.

……….This has created panic among some stakeholders who have been calling on the apex bank to take urgent steps to strengthen the Naira.