Can A Redesign of A Countries Currency Note Improve Its Economy? - page 6.

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Quote from: Cryptomultiplier on October 26, 2022, 01:34:18 PM

In recent news, it is the plan of the Nigerian government to redesign its currency notes. I don't know why such a project at this time is even mentioned, because other worst case scenarios that require redesign is left abandoned or nearly abandoned in total.

You have the explanation in the same article you've quoted:

Quote

“In recent years, the CBN has recorded significantly higher rates of counterfeiting especially at the higher denominations of N500 and N1,000 banknotes. Although global best practice is for central banks to redesign, produce and circulate new local legal tender every 5–8 years, the Naira has not been redesigned in the last 20 years.

It's nothing special, every country does so, even the Eurozone launched a new batch of banknotes designs in 2019, the US has changed the design of the $100 in 2010, and Britain just replaced two of their banknotes just to change them again after the death of the Queen.

Nothing to do with the economy, its standard procedure.

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The redesign for Nigeria isn't an overhaul of the currency system, it's merely aesthetic changes. That won't do anything. If their concern is with counterfeiting, then I suppose the redesign would help in that regard. Won't help inflation.

If you wanted to help a country's economy, ditch the currency system for a currency that's deflationary or at the least is tied to a physical asset. The problem with any fiat currency is that the supply is infinite -- there isn't anything stopping the government from merely creating more. Obviously, overhauling the currency system is a radical approach that has detrimental economic effects in the short term. Long term, it's a viable solution to save a country's economy IMO.

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Quote from: Cryptomultiplier on October 26, 2022, 01:34:18 PM

In recent news, it is the plan of the Nigerian government to redesign its currency notes. I don't know why such a project at this time is even mentioned, because other worst case scenarios that require redesign is left abandoned or nearly abandoned in total.
My thoughts is on how such a government at these time of flooding and inflation would think that by redesign the currency, such issue will be the remedy to the countries huge debt margin or natural disaster ongoing.
Do you think the effect of redesigning the nations currency note will be of benefit to the economy and nation at large?
Let's discuss!

https://nairametrics.com/2022/10/26/cbn-redesign-naira-notes/

If you polish a turd, it's still a turd. Having a fancy looking currency fixes nothing about the underlying economy and it's a bit of a silly question to ask. Often times these are actually hidden deflation methods, for example removing a few zeros off the end and re-issuing currency in new denominations. If your governments fiscal policy is revolving around whether to redesign the currency, instead of spurring growth and new jobs, then they might just be rearranging unimportant stuff. Just look at Zimbabwe, who actually ended up creating hundred trillion dollar notes, but you still needed whole wheel barrows worth of them to buy anything useful.

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Quote from: Cryptomultiplier on October 26, 2022, 01:34:18 PM

In recent news, it is the plan of the Nigerian government to redesign its currency notes.

I have not heard this lately at least not today. You can share the link bro

Quote from: Cryptomultiplier on October 26, 2022, 01:34:18 PM

Do you think the effect of redesigning the nations currency note will be of benefit to the economy and nation at large?
Let's discuss!

Definitely it not no where a benefit, not in the Nigerian context where people have no value for anything anymore.

The Nigerian currency have been redesign several times but today the exchange rate keeps dropping against foreign currency. Today a dollar to naira is 752/5 and in the last 18 months ago it was around $1 to #390. You can see the difference and madness running in the Nigerian economy.

It is needless to say that redesigning of the naira is not the solution but to demonitize the Nigerian political system and get serious minded people who will be selfless to service not to have shenanigans going their for personal profit and to make name as a past president, governor, senator or other political offices.

Yes, Nigeria government need to focus on more serious issues than mediocre agendas. A chance to try fresh blood is what is required.

Cryptomultiplier

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In recent news, it is the plan of the Nigerian government to redesign its currency notes. I don't know why such a project at this time is even mentioned, because other worst case scenarios that require redesign is left abandoned or nearly abandoned in total.
My thoughts is on how such a government at these time of flooding and inflation would think that by redesign the currency, such issue will be the remedy to the countries huge debt margin or natural disaster ongoing.
Do you think the effect of redesigning the nations currency note will be of benefit to the economy and nation at large?
Let's discuss!

https://nairametrics.com/2022/10/26/cbn-redesign-naira-notes/

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