Naira Redesign Policy of 2022 and its Implications on Household Poverty in Itu Local Government Area of Akwa Ibom State, Nigeria
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Abstract
The Naira redesign of the year 2022 in Nigeria was aimed at enabling the Central Bank of Nigeria (CBN) to take control of the Naira in circulation, manage inflation, combat counterfeiting, and ransom payment. However, the social and economic implications of this policy were far unexpected as it brought many manifest consequences. This study was undertaken to assess the implications of the Naira redesign policy of the year 2022 on household poverty in Itu Local Government Area of Akwa Ibom State. Three specific objectives and three research questions guided the study. Exploratory survey research design was utilized in the study. Simple random sampling involving fish bowl method with replacement was used in the selection of six political wards out of eleven wards for the study. One thousand one hundred and four respondents were selected for the study. Data were collected using structured questionnaire and in-depth interviews. The quantitative and qualitative data were analyzed using descriptive statistics and thematic analysis, respectively. Findings reported negative effect of the Naira redesign policy on household economy as well as social livelihood. It re-introduced trade by barter using Naira to buy Naira, long queues at the bank and the postponement as well as outright cancellation of social events. Based on these findings, the study recommended that future financial policies should consider the effect of micro-economy structure like the family and people in the rural areas before enacting and implementing such policies.
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