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A fresh economic review by Quartus Economics has outlined why the Central Bank of Nigeria, CBN, should introduce higher-value currency notes such as N10,000 and N20,000.
According to the report, introduction of higher currency notes would restore the naira’s portability and reduce the rising cost of cash transactions.
The report, titled ‘Is Africa’s Eagle Stuck or Soaring Back to Life?’ said the continued depreciation of the naira had rendered the N1,000 note, the country’s highest denomination, practically obsolete in terms of purchasing power.
“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,” the report stated.
The report dismissed claims that issuing higher-value notes could worsen inflation, describing such assumptions as a “myth unsupported by evidence”, and noted that inflation is driven by cost-push and demand-pull factors, not by currency denomination.
“Inflation is cost-push or demand-pull. Neither is related to currency denomination. Instead, countries introduce higher notes to maintain portability after an era of currency depreciation.
“Countries introduce higher-value notes to maintain portability after a period of significant currency depreciation, not to trigger inflation,” the report clarified.
DAILY POST reports that the purchasing power of the naira had been on a declining following rising inflation in the country.
The inflation rate stood at 18.02 per cent as of September, while the exchange rate was N1,448.20 per dollar at at Wednesday, October 29, 2025.
Why CBN should introduce N10,000, N20,000 notes – Quartus Economics
