Editorial
The Naira Swap Confusion
The controversy surrounding the redesign of the naira by the Central Bank of Nigeria (CBN) and the subsequent withdrawal of the old notes with the deadline originally set at January 31, 2023, has been reverberating nationwide. The CBN, however, extended the deadline for the usage of the old notes by 10 days, up to February 10, 2023. But the intervention of the Supreme Court halted the CBN from enforcing the February time limit.
This battle, which extended to the two arms of the National Assembly, the Senate, and the House of Representatives, remains heated in the public domain with various permutations and insinuations introduced into the unfolding imbroglio. The Senate and the House of Representatives had earlier passed resolutions for the deadline to be extended to the end of June and July 2023 respectively.
The recent claims by the CBN that about N1.9 trillion worth of the old notes had already been received by the banking system and about N900 billion worth are still outside appeared instructive and worth further consideration. In any case, countless issues arise on this seeming power play between the apex monetary authority on one hand and the politicians and lawmakers on the other.
There is the general perception that the naira redesign and the subsequent policy on cash withdrawal limits are linked to the forthcoming general elections scheduled for February and March 2023. That appears plausible given the country’s experience in previous elections where vote buying through the dispensing of cash to gullible voters had played a very key role in the electorate’s inducements to vote in some particular direction.
Consequently, some individuals and civil society organisations called on the CBN to resist any attempt to extend the deadline beyond the dates set for the elections. Most of the reported incidences of vote buying usually take place a few days before the election as well as on the election dates when cash is splashed across the polling booths in the country with the destitute and vulnerable population tempted to compromise in this regard.
Excess cash in the hands of unscrupulous politicians allows them to influence votes cast for their political parties. This is a clear case of the weaponisation of poverty for political gains. So, the CBN’s currency redesign policy appears to have some serious advantage in ensuring free and fair elections in February and March. But the challenge here is how the apex bank can navigate through this process without constituting a stricture in the wheel of progress for the enhancement of economic activities.
Since the apex bank announced that it was going to redesign the N200, N500, and N1,000 denominations and urged Nigerians to swap the old naira notes with the new ones, the policy is generating more reactions from Nigerians as the new notes are scarce despite assurances by the apex bank that commercial banks should continue to load their ATMs with the new notes. Nigerians across the country have been lamenting the scarcity of the naira notes, with some angry and frustrated bank customers vandalising the facilities of some banks.
The epic battle over the retention or ban of old naira currency notes shifted to the Supreme Court recently when the Attorneys General of three states (Kaduna, Kogi, and Zamfara) approached the apex court on the issue of the deadline set by the CBN. The states are asking the court to stop the Federal Government from proceeding with its demonetisation policy because of the hardship the policy is bringing upon people in the affected states. The court granted the interim order against the Federal Government, restraining it from going ahead with its deadline for the use of the old naira note until February 15, 2023.
Some state governments, including Rivers, have decided to file separate applications to join the suit instituted by the three states at the Supreme Court on the same issue. The Rivers State Governor, Nyesom Wike, commended the Supreme Court for saving democracy by halting the Central Bank from banning the use of the old naira notes after February 10, 2023. The governor said the intervention of the court was timely because some elements were bent on derailing the democratic process. He urged Nigerians to vote against any candidate supporting the manner the currency redesign policy was being implemented.
We entirely agree with the governor’s views. Our position is based on the imminent economic dislocation the hurried implementation of the policy has brought upon hapless Nigerians struggling for survival. For weeks, while the CBN boasted that it had enough of the new notes with the commercial banks, their ATMs were crying in need of them. And as the blame game persisted, the short time frame led to a rush by the people to banks to dispose of old notes.
The CBN could have taken a leaf from the United States, which adopted a gradual process in the redesign of the dollar notes. For instance, the issuance of new banknotes in the first redesign since the 1920s began with the $100 note in 1996. That was followed by the $50 note in 1997, the $20 note in 1998, and the $10 and $5 notes in 2000. As for the United Kingdom, which set 30th September 2022 as the last day to use the paper £20 and £50 notes for retail purposes, the withdrawn notes can always be exchanged at the Bank of England for new notes at any time after this date.
To reduce the present currency crisis, therefore, there is a need for aggressive action by the CBN to ensure an adequate supply of naira in the system. This also accords with the position of the National Council of State (NCS). The council had tasked the CBN during its meeting last week to make the new naira notes available or recirculate the old notes to ease the current suffering of Nigerians. The volume of the new notes in circulation is highly insufficient and most of the ATMs have no new notes to dispense, while the dispensing few are still paying out old notes.
Beyond issuing mere threats, the CBN should sanction severely any commercial bank found hoarding the new naira notes since it claims that it has produced enough for distribution to all the banks across the country. Furthermore, many Point of Sales (PoS) agents are engaged in sharp practices by charging customers up to 30 per cent before paying them money. This has produced a negative effect on the cost of living and businesses. Accordingly, the CBN should punish these agents by withdrawing their licences.
Currently, millions of Nigerians are battling with fuel scarcity and escalating prices of petrol, kerosene, and diesel. Enormous productive time is being wasted on long queues. The untoward fuel crisis coincided with long queues at the INEC offices across the country by eligible citizens who waited to collect their PVCs, ahead of the forthcoming elections. Sadly, Nigerians now have to endure another long queue to obtain the redesigned naira notes and swap the old currency.
The recent massacre in Yelewata, Benue State, ranks among Nigeria’s deadliest attacks of
2025. While official figures put the death toll at 59, media reports and Amnesty International estimate between 100 and 200 fatalities. This atrocity extends a decade-long pattern of violence in Nigeria’s Middle Belt, where Beacon Security data records 1,043 deaths in Benue alone between May 2023 and May 2025.
President Tinubu’s visit on 18 June—four days after the 14 June attack—has drawn sharp criticism for its lateness. This delay echoes a history of inadequate responses, with Human Rights Watch documenting similar inaction in Plateau and Kaduna states since 2013, fuelling a culture of impunity. The attack lasted over two hours without meaningful security intervention, despite claims of swift action.
The violence bore hallmarks of genocide, with survivors recounting systematic house burnings and executions. More than 2.2 million people have been displaced in the region since 2019 due to comparable attacks. Data show Benue’s agricultural output falls by 0.21 per cent in crops and 0.31 per cent in livestock for every 1 per cent rise in violence.
Security forces continue to underperform. No arrests were made following the Easter attacks in April (56 killed) or May’s Gwer West massacre (42 killed). During his visit, Tinubu questioned publicly why no suspects had been detained four days after Yelewata, highlighting entrenched accountability failures.
The roots of the conflict are complex, with climate change pushing northern herders south and 77 per cent of Benue’s population reliant on agriculture. A Tiv community leader described the violence as “calculated land-grabbing” rather than mere clashes, with over 500 deaths recorded since 2019.
Government interventions have largely fallen short. The 2018 federal task force and 2025 Forest Guards initiative failed to curb violence. Tinubu’s newly announced committee of ex-governors and traditional rulers has been met with scepticism given the litany of past unkept promises.
The economic fallout is severe. Benue’s status as Nigeria’s “food basket” is crumbling as farms are destroyed and farmers displaced. This worsens the nation’s food crisis, with hunger surges in 2023-2024 directly linked to farming disruptions caused by insecurity.
Citizens demanding justice have been met with force; protesters faced police tear gas, and the State Assembly conceded total failure in safeguarding lives, admitting that the governor, deputy, and 32 lawmakers had all neglected their constitutional responsibilities.
The massacre has drawn international condemnation. Pope Leo XIV decried the “terrible massacre,” while the UN called for an investigation. The hashtag “200 Nigerians” trended worldwide on X, with many contrasting Nigeria’s slow response to India’s swift action following a plane crash with similar fatalities.
Nigeria’s centralised security system is clearly overwhelmed. A single police force is tasked with covering 36 states and 774 local government areas for a population exceeding 200 million. Between 2021 and 2023 alone, 29,828 killings and 15,404 kidnappings were recorded nationally. Proposals for state police, floated since January 2025, remain stalled.
Other populous nations offer alternative models. Canada’s provincial police, India’s state forces, and Indonesia’s municipal units demonstrate the effectiveness of decentralised policing. Nigeria’s centralised structure creates intelligence and response gaps, worsened by the distance—both physical and bureaucratic—from Abuja to affected communities.
The immediate aftermath is dire: 21 IDP camps in Benue are overwhelmed, and a humanitarian crisis is deepening. The State Assembly declared three days of mourning (18-20 June), but survivors lack sufficient medical aid. Tragically, many of those killed were already displaced by earlier violence.
A lasting solution requires a multi-pronged approach, including targeted security deployment, regulated grazing land, and full enforcement of Benue’s 2017 Anti-Open Grazing Law. The National Economic Council’s failure to prioritise state police in May 2025 represents a missed chance for reform.
Without decisive intervention, trends suggest conditions will worsen. More than 20,000 Nigerians have been killed and 13,000 kidnapped nationwide in 2025 alone. As Governor Hyacinth Alia stressed during Tinubu’s visit, state police may be the only viable path forward. All 36 states have submitted proposals supporting decentralisation—a crucial step towards breaking Nigeria’s vicious cycle of violence.
Nigeria’s return to democratic rule in 1999 marked a watershed moment in the nation’s political history. After enduring nearly 16 years of successive military dictatorships, Nigerians embraced a new era of civil governance with the inauguration of President Olusegun Obasanjo on May 29, 1999. Since then, the country has sustained a democratic system for 26 years. But, this democratic journey has been a complex mix of progress and persistent challenges.
The formal recognition of June 12 as Democracy Day in 2018 by former President Muhammadu Buhari acknowledged a long-standing injustice. The annulment of the 1993 presidential election, Nigeria’s freest, betrayed the democratic aspirations of millions. That it took decades to honour this date reflects the nation’s complex relationship with its democratic memory.
One of the most momentous successes of Nigeria’s democracy has been the uninterrupted civilian rule over the last two and a half decades. The country has witnessed seven general elections, with power transferring peacefully among different political parties. This is particularly notable considering that prior to 1999, no civilian government had completed a full term without military intervention. The peaceful transitions in 2007, 2015, and 2023 are testaments to Nigeria’s evolving democratic maturity.
Electoral participation, while uneven, has also reflected a level of democratic engagement. In 2003, voter turnout stood at about 69 per cent, but this figure dropped to approximately 34.75 per cent in 2023, according to the Independent National Electoral Commission (INEC). Although the declining turnout raises concerns, it also highlights the increasing expectations of the electorate, who demand credible and transparent elections.
Another area of progress is the growth of a vibrant and free press. Nigerian media has played a crucial role in holding governments accountable and fostering public discourse. Investigative journalism and civil society activism have exposed corruption and human rights abuses. The rise of social media has further expanded the democratic space, enabling young Nigerians to mobilise and advocate for change, as evidenced by the 2020 #EndSARS protests.
Judicial independence has seen mixed results. On one hand, the judiciary has occasionally demonstrated resilience, such as in landmark rulings that overturned fraudulent elections or curtailed executive excesses. On the other hand, allegations of political interference and corruption within the judiciary persist, undermining public confidence in the legal system’s impartiality.
Nigeria’s democracy has also facilitated the decentralisation of power through the federal system. State governments now wield some autonomy, allowing for experimentation in governance and service delivery. While this has led to innovative policies in some states, it has also entrenched patronage networks and uneven development across the federation.
Despite these successes, Nigeria’s democratic journey faces formidable problems. Electoral integrity remains a critical concern. Reports from election observers, including those from the European Union and ECOWAS, frequently highlight issues such as vote-buying, ballot box snatching, and violence. The introduction of the Bimodal Voter Accreditation System (BVAS) and electronic transmission of results in 2023 elections showed promise, but technical glitches and alleged manipulations dampened public trust.
Corruption continues to be a pervasive issue. Nigeria ranks 145th out of 180 countries on Transparency International’s 2023 Corruption Perceptions Index, with a score of 25/100. Democratic institutions meant to check graft—such as anti-corruption agencies and the legislature—often struggle due to political interference and weak enforcement mechanisms.
Security challenges have also strained Nigeria’s democracy. Insurgency in the North East, banditry in the North West, separatist agitations in the South East, and herder-farmer conflicts across the Middle Belt have collectively resulted in thousands of deaths and displacements. According to the Global Terrorism Index 2024, Nigeria ranks as the eighth most impacted country by terrorism. The government’s difficulty in ensuring safety erodes public confidence in the state’s capacity and legitimacy.
The economy poses another critical remonstrance. Nigeria’s Gross Domestic Product (GDP) per capita stands at approximately $2,400 as of 2024, with over 40 per cent of the population living below the national poverty line. High unemployment and inflation have fueled discontent and disillusionment with democratic governance, especially among youth. Without addressing economic grievances, the democratic dividend will remain elusive for many Nigerians.
Ethnic and religious divisions further complicate Nigeria’s democratic consolidation. Politicians often exploit identity politics for electoral gains, exacerbating social tensions. Although federal character principles aim to promote inclusiveness, they have also sometimes fostered a quota mentality rather than merit-based appointments.
Gender representation remains inadequate in Nigeria’s democratic institutions. Women occupy less than 10 per cent of seats in the National Assembly, one of the lowest rates globally. Efforts to pass gender parity bills have faced stiff resistance, highlighting deep-seated cultural and institutional barriers to female political participation.
Civil liberties, while constitutionally guaranteed, are under threat. Crackdowns on protesters, restrictions on press freedom, and surveillance of activists reveal an authoritarian streak within the democratic framework. The controversial Twitter ban in 2021 exemplified the country’s willingness to curb digital freedoms, prompting domestic and international criticism.
The political crisis in Rivers State embodies broader democratic struggles. Attempts to control the state through undemocratic means expose weaknesses in federal institutions and the rule of law. Immediate restoration of democratic governance in Rivers State is vital to preserving Nigeria’s democratic integrity and institutional credibility.
Local governments remain under the control of state governors, depriving citizens of grassroots democracy. Last year’s Supreme Court judgment on local government autonomy is promising, but state-level resistance threatens its implementation. Genuine autonomy would bring governance closer to the people and foster democratic innovation.
As we mark Democracy Day, we must honour the sacrifices of Chief M.K.O. Abiola, Kudirat Abiola, Femi Falana, Chief Gani Fawehinmi, Pa Alfred Rewane, President Bola Tinubu, and countless others, who fought for Nigeria’s freedom. As democracy in Nigeria continues to evolve after 26 years, this day should inspire action toward its renewal. With despotism and state failure as real threats, both citizens and leaders must take responsibility—citizens by demanding more, and leaders by delivering. Excuses are no longer acceptable.