Naira scarcity: Bank workers threaten to suspend operations over rising attacks

The Association of Senior Staff of Banks, Insurance and other Financial Institutions (ASSBIFI) says it will direct its members to stay away from bank branches if the current attacks on banks persist.

In a statement on Thursday, the association said the financial implication of the nationwide rancour may cost the insurance companies over N2 billion.

It said the amount was based on the attacks on about five banks and branches across Abeokuta, Edo, Delta, Oyo, and Akwa Ibom states.

ASSBIFI added that bank branches were burnt, automated teller machines (ATMs) destroyed and workers’ personal effects were damaged by angry protesters.

“Sadly, within weeks of implementation, the entire banking industry and workers were placed under public scrutiny and ridicule due to inciting and unbalanced reports circulated through various news and social media and leading to attacks on our members and other bank workers, and the destruction of banks’ properties,” the statement reads.

“These sad incidents also amounted to personal losses by innocent Nigerians and injuries sustained by members of the public, while our colleagues in the insurance sector were faced with claims of more than two billion naira.

“During this trying period, not once was there any condemnation of these acts by bodies or individuals saddled with the responsibility of supervising or protecting the industry and its workers. This was further re-echoed in the president’s address to the nation when he put the problem at the doorsteps of banks.

“Too late in the day, statements began to trickle in confirming the insufficiency of the new notes, the rush for the ones released to the public, and the pressure on availability due to major retail outlets declining payment through alternative means and demanding cash payment, which absolved banks from the previous accusations.

“Our fear of the impact of this deafening silence from the authorities came to reality on Wednesday 15 Feb. 2023 when disgruntled citizens, again, went on rampage in Edo, Delta, Ogun, and Oyo states attacking and burning down banks and other institutions.

“Despite the losses in terms of lives, damaged properties, and looming job insecurity due to the destruction of business premises within our industry, and the impact on insurance organisations, we remain committed to go the extra mile in providing service to our customers in safe and secure environments.

“However, we value the lives of our members and colleagues and will not put them at any further risk. We have put them on alert and shall instruct them without further warning to immediately stay away from their branches if these attacks on our members and facilities continue until such a time that they can be guaranteed of their personal safety and the security of their workplaces by the relevant authorities.” 

CURRENCY ABUSE SHOULD BE PUNISHED

The association sympathised with colleagues and employers in various banks whose branches were attacked, damaged, or burnt along with their equipment.

While stating that its members were not against the CBN policy to redesign and withdraw the old naira notes, it pledged to continue to reiterate the need to fully engage all relevant stakeholders in immediately looking beyond printing new notes as ordered by the council of state, and fashioning out immediate ways to enhance alternative means of transactions that will be devoid of failures and restore confidence in the cashless system.

The group also called on relevant authorities to increase awareness at all levels to discourage panic withdrawal and hoarding of the new currency while providing industry-wide incentives to encourage the transition from cash transactions.

“We salute institutions that have chosen to act proactively,” it said.

The bank workers also asked the CBN to “monitor and sanction outlets that have been verified to shut down the use of alternative means of payments, demanding for cash which find their way into the hands of currency traders”.

It also suggested that the abuse of Nigeria’s currency at public events should be monitored, adding that sanctions as prescribed in the CBN act should also be applied.