The Macro - Economic Consequences and Regulatory Challenges of Currency Counterfeiting In Nigeria
Journal Title: International Journal of Financial Economics - Year 2014, Vol 3, Issue 2
Abstract
Currency otherwise regarded as paper money and coins constitutes a potent economic lubricant in Nigeria and all over the world. Its role as legal tender in promoting transactions in goods and services as well as the overall progress of the economy is anchored on the fact that the Nigerian economy, at the moment, is grossly cash-driven. However, it has been observed in recent times that counterfeit currencies (especially the higher denomination bank notes) are very much in circulation in Nigeria without adequate safeguard by the regulatory body to mitigate their circulation. Bearing in mind the grave macroeconomic consequences associated with currency counterfeiting, it becomes the concern of this paper to point out some of the these grave consequences on the Nigerian society as a wake-up call on both individuals and the regulatory body to rise to the challenge of combating this economic insurgence. The paper employed a narrative approach to xray, the history of Nigerian currency as well as the legal framework for currency management/currency counterfeiting in Nigeria. Among the recommendations offered towards preventing the menace of currency counterfeiting are that, adequate sensitization programme be floated on both the print and electronic media to educate the public on counterfeit offences, installation of note sorting machines in all bank branches and big business centres to fish out counterfeit notes as well as the creation of special judicial tribunal to promptly handle and punish all currency counterfeiting cases.
Authors and Affiliations
Bala Pius Daniel, Cletus Usman Idoko
Keywords
Related Articles
- EP ID EP27279
- DOI -
- Views 435
- Downloads 9
Evaluation of Financial Distress: A Case Study of UCHUMI Supermarket Ltd
There exists no conclusive agreement on which financial ratio(s) are most appropriate to assess the likelihood of financial distress and the successful turnaround strategies of recovering firms. This study evaluates fi...
Divisia Monetary Aggregates and Demand for Money in Nigeria.
The Nigerian financial system has undergone several transformations over the past few decades leading to financial innovations. These innovations have altered the definition and use of monetary aggregates as a monetary...
Across Tax Mountains Assessing the Impact of Competition on the Laffer Curve
Regarding states and state-like entities as producers and taxation as a price for the goods and services provided by State, and, more importantly, as a price for the existence of the State itself, this study connects t...
Causes of Interest Rate Volatility in Nigeria
This paper analyzed the causes of interest rate volatility in Nigeria for the period between January 2000 and December 2005 using an econometric model. The empirical analysis starts by analyzing the series properties of...
Econometric Analysis on the Impact of Capital Market Performance on the Nigerian Economy
This study investigates the impact of stock market performance on economic growth in Nigeria. Time series data from 1980-2002 on market capitalization, value of shares traded, all share index, average prime lending rat...