Quartus Economics has advised the Central Bank of Nigeria to issue higher-value naira notes to restore currency portability, reduce cash-handling costs, and reflect current economic realities.
A new report by Quartus Economics has urged the Central Bank of Nigeria to introduce higher-value currency notes such as N10,000 and N20,000 bills to restore the naira’s portability and reduce cash transaction costs.
The report, titled “Is Africa’s Eagle Stuck or Soaring Back to Life?”, warned that the naira’s depreciation has rendered the N1,000 note “practically obsolete in terms of purchasing power.” It added, “To make the naira portable again, Nigeria can introduce higher-value bills, e.g., N10,000 or N20,000 notes, or redenominate the currency entirely.”
Quartus dismissed fears that new denominations could worsen inflation, calling such claims a “myth unsupported by evidence.” The analysts noted that inflation is driven by “cost-push or demand-pull” factors, not currency denomination.
The report highlighted that the naira has lost 94 per cent of its real value since 2005, when N1,000 equaled nearly $7, compared to less than 60 US cents today.
It concluded that introducing higher-value notes would improve transaction efficiency, reduce printing costs, and align Nigeria’s currency structure with other emerging economies.