Nigerian naira

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The naira is the currency of Nigeria. The ISO currency code is NGN. It is subdivided into 100 kobo. The symbol for the naira is ₦, which is included in Unicode at code point U+20A6.

The Central Bank of Nigeria (CBN) is the sole issuer of legal tender money throughout the Federation. It controls the volume of money supply in the economy in order to ensure monetary and price stability. The Currency & Branch Operations Department of the CBN is in charge of currency management, through the procurement, distribution/supply, processing, reissue and disposal/disintegration of bank notes and coins.

[edit] History

The naira was introduced in 1973, replacing the pound at a rate of 2 naira = 1 pound. This made Nigeria the last country to abandon the £sd currency system. There was a plan to redenominate the naira at 1 new naira = 100 old naira in 2008. But the plan has been suspended.

[edit] First naira

[edit] Coins

In 1973, coins were introduced in denominations of ½, 1, 5, 10 and 25 kobo, with the ½ and 1 kobo in bronze and the higher denomnations in cupro-nickel. The ½ kobo coins were only minted that year. In 1991, smaller 1, 10 and 25 kobo coins were issued in copper-plated-steel, along with nickel-plated-steel 50 kobo and 1 naira. On 28 February, 2007, new, bimetallic coins were issued in denominations of 50 kobo, 1 and 2 naira. Some Nigerians expressed concerns over the usability of the N2 coin.^[1] The deadline for exchanging the old currency was set at 31 May 2007.^[2] The central bank stated that the ½ to 25 kobo coins were withdrawn from circulation with effect from 28 February 2007.

• ½ kobo ^[3]
• 1 kobo
• 5 kobo
• 10 kobo
• 25 kobo
• 50 kobo
• 1 naira
• 2 naira

[edit] Banknotes

In 1973, the Central Bank of Nigeria introduced notes for 50 kobo, 1, 5, 10 and 20 naira. The 50 kobo notes were last issued in 1989. In 1991, 50 naira notes were issued, followed by 100 naira in 1999, 200 naira in 2000, 500 naira in 2001 and 1000 naira on October 12, 2005.

In 2007, new versions of the 5 to 50 naira banknotes were announced. The 10, 20 and 50 naira will be polymer banknotes, ^[4] although currently only the 20 naira is made of polymer. The notes are slightly smaller and redesigned.

• 5 naira
• 10 naira
• 20 naira
• 50 naira
• 100 naira
• 200 naira
• 500 naira
• 1000 naira

On the 1000 naira notes, there is a subtle shiny strip running down the back of the note. It is a shimmery gold colour showing 1000 naira. The triangular shape in the middle of the front of the note changes its colour from green to blue when tilted. The main feature on the front is the engraved portraits of Alhaji Aliyu Mai-Bornu and Dr Clement Isong, former governors of the Central Bank of Nigeria.

[edit] Second naira

The naira was scheduled for redenomination in August 2008 (Although this has now been cancelled by President Alhaji Umaru Musa Yar'Adua^[5]), with 100 old naira to become 1 new naira. The Nigerian Central Bank has stated that it will was to make the naira fully convertible against foreign currencies by 2009. Currently, the amount of foreign currency is regulated through weekly auctions, while the Central Bank sets the exchange rate. The naira appreciated against the dollar through 2007 due to high oil revenues. Bank governor Chukwuma Soludo noted the weekly central bank auctions of foreign currency will gradually be phased out, and that the bank would "only intervene in the market as may be required to achieve defined policy objectives".^[6].

[edit] Coins

Coins were to be issued in denominations of:

• 1 Kobo (N.1)
• 2 Kobo (N.2)
• 5 Kobo (N.5)
• 10 Kobo (N.10)
• 20 Kobo (N.20)

[edit] Banknotes

Banknotes were to be printed in denominations of:

• 50 Kobo (N.50)
• 1 Naira (N.100)
• 5 Naira (N.500)
• 10 Naira (N.1000)
• 20 Naira (N.2000)

[edit] Exchange rate history

This table shows the historical value of one U.S. Dollar in Nigerian naira:

PM = Parallel Market

[edit] See also

• Economy of Nigeria

[edit] References

[edit] External links

• Don's World Coin Gallery - Nigeria
• Ron Wise's World Paper Money - Nigeria ^{Mirror site}
• Tables of Modern Monetary Systems by Kurt Schuler - Nigeria ^{Mirror site}
• The Global History of Currencies - Nigeria
• Global Financial Data data series - Nigeria Naira
• Global Financial Data currency histories table (Image:Crystal 128 kspread.png Microsoft Excel format)
• New coin issue pictures

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