Cash crunch: NLC suspends planned strike, gives CBN 2wks to normalise supply

By Victor Ahiuma-Young

THE Nigeria Labour Congress, NLC, has suspended its planned nationwide indefinite strike and picketing of Central Bank of Nigeria, CBN, offices across the country over the scarcity of naira notes.

It had planned to begin the nationwide sit-at-home indefinite strike from today (Wednesday, March 29) and picketing of CBN headquarters and its state offices across the country over the cash crunch that had brought untold hardships to Nigerians and businesses. 

At the end of its National Executive Council, NEC, meeting yesterday, leaders of NLC, however, gave the CBN two weeks to normalise the money supply nationwide, especially in the rural areas. 

NLC in a resolution  disclosed that the NEC-in-session after extensive discussions, reviewed the undercurrents of the current cash crunch across the length and breadth of Nigeria.

 According to NLC’s NEC, the scarcity of cash is a consequence of the CBN’s currency redesign policy.

It noted that the meeting assessed the level of availability of cash in all parts of Nigeria to take a decision on the planned nationwide strike and picketing of the CBN that ought to begin from today, reached a five-point conclusion.

The NLC’s NEC resolved that “the CBN has made significant efforts to curb cash scarcity in Nigeria, thus to some extent complied with the demands of NEC that availability of cash has noticeably improved in the major urban centres in Nigeria. 

”But in rural communities and towns, cash scarcity seemingly persists, that banks have, however, continued to ration access to cash, thus limiting financial transactions across the nation. 

”It does appear that normalcy has not completely been restored as long queues are still visible to allow cash flow seamlessly as before the unfortunate policy.

“To this end, NEC-in-session decides to suspend the proposed nationwide strike planned for  today (Wednesday, March 29, 2023), since there is significant improvement in the availability of cash. 

“All workers and affiliates are hereby requested to demobilize and stand down every action towards the strike.  

”The CBN should ensure that total normalcy is restored to cash availability within the nation in the next two weeks. NLC will embark on nationwide strike without warning if the cash situation degenerates, instead of return to normalcy.

“A joint committee of NLC at national and state level is hereby setup to monitor sustainable compliance by CBN towards ensuring that the cash crunch finally comes to an end.”