The Influence of Naira Redesign Among Undergraduate Students in Gidan Waya
Chapter One
Research Objectives
The main objective of the study is to examine the influence of naira redesign among undergraduate students in Gidan Waya, and the specific objectives are:
- To examine the impact of naira redesign on undergraduate students’ financial behavior
- To assess the perception of undergraduate students on the naira redesign policy
- To explore the impact of the Naira redesign on the frequency and type of financial transactions made by undergraduate students.
CHAPTER TWO
LITERATURE REVIEW
Introduction
This chapter presents the literature review of the study. This is done under various subheadings that are classified under the conceptual review, theoretical review and the summary of literature reviewed.
Conceptual Review
Concept of Currency redesign
Currency redesign is a process of revising and modernizing the physical appearance of a country’s currency. This can include changes to the design, size, color, material, and security features of banknotes and coins (Mba, 2022). The goal of currency redesign can vary, but it often aims to improve the security of the currency, increase public trust in the currency, and make the currency more accessible and usable for all individuals, including those with disabilities (Miles, 2018). Additionally, currency redesign can serve as a way to reflect a country’s cultural heritage and national identity, as well as to commemorate important events or figures in the country’s history.
Currency redesign is a complex and multi-faceted process that involves a number of stakeholders, including the central bank, government agencies, security experts, designers, and the public (Mraovic, 2019). The central bank is typically the lead agency responsible for managing the currency redesign process and ensuring that the new currency meets the necessary security, technical, and operational requirements.
In order to ensure the success of a currency redesign, a comprehensive and well-planned approach is necessary (Mraovic, 2019). This typically involves conducting research and analysis to understand the needs and preferences of the public and other stakeholders, as well as to identify the potential impact of the redesign on the economy. This research can include surveys, focus groups, and other methods to gather feedback and input from the public (Murakami, 2018).
Once the research and analysis phase is complete, the design and development phase of the currency redesign process can begin. This phase typically involves working with designers and security experts to create prototypes of the new currency and testing them to ensure that they meet all technical and operational requirements (Murakami, 2018).
Finally, the implementation phase of the currency redesign process involves the printing, production, and distribution of the new currency, as well as the phased replacement of the old currency. This phase requires careful planning and coordination to ensure a smooth transition to the new currency (Ndekwu, 2017).
Currency redesign is a complex and important process that can have far-reaching implications for a country’s economy, security, and national identity. Effective currency redesign requires careful planning, collaboration between key stakeholders, and a comprehensive approach to ensure the success of the new currency (Nnakwe, 2018). The Naira redesign simply refers to designing the naira notes to appear differently. It is the action or process of developing or fashioning the new notes of the naira, which is Nigeria’s official legal tender (Nnakwe, 2018).
The naira redesign is the exclusive responsibility of the CBN, the apex bank and the sole authority empowered by law to issue the legal currency of Nigeria. The CBN is empowered by the CBN Act, of 2007 to redesign the Naira notes (Odior, 2022). The CBN is authorized by sections 2, 18, 19 and 20 of the act to arrange the printing and issuing of the Naira, as well as recalling/withdrawing any of the legal tender notes, which have been tampered with at their face value.
History of Currency Introduction and Redesign in Nigeria
During the pre-colonial era, different cultures used a variety of items as means of exchange. These included cowries, manilas, beads, bottles and salt amongst others. The first major currency issue in Nigeria was undertaken following the colonial ordinance of 1880 which introduced the Shillings and Pence as the legal tender currency in British West Africa (Banuso, 2012). The units of coins managed by the Bank of England were one shilling, one penny, 1/2 penny and 1/10 penny and were distributed by a private bank, the Bank for British West Africa till 1912 (Onakoya, 2013).
From 1912 to 1959, the West African Currency Board (WACB) issued the first set of banknotes (insert hyperlink) and coins in Nigeria, Ghana, Sierra Leone and the Gambia. The highest banknote denomination was one pound, while the one shilling coin was the highest coin denomination (Collier, 2016).
On 1st July, 1959 the Central Bank of Nigeria (CBN) issued Nigerian currency banknotes, while the WACB-issued banknotes and coins were withdrawn. It was not until 1st July, 1962 that the currency was changed to reflect the country’s republican status. The banknotes which bore the inscription, ’FEDERATION OF NIGERIA‘, now had, ‘FEDERAL REPUBLIC OF NIGERIA’, inscribed at the top (Collier, 2016). The notes were again changed in 1968 following the misuse of the currency banknotes during the civil war.
Sequel to the decision by the government to change from the metric to decimal, the name of the Nigerian currency was changed in January, 1973. The major unit of currency which used to be £1 ceased to exist and the one naira which was equivalent to ten shillings became the major unit, while the minor unit was called the kobo; hundred of which made one naira (Shodeinde, 2018).
On 11th February 1977, a new banknote with the value of twenty naira (₦20) was issued. It was the highest denomination introduced at the time as a result of the growth of the economy; the preference for cash transactions and the need for convenience (Shodeinde, 2018).
The banknote was the first in Nigeria to bear the portrait of a prominent Nigerian citizen, the late Head of State, General Murtala Ramat Muhammed (1938-1976) who was the torch bearer of the Nigerian Revolution in July, 1975. The note was issued on the 1st anniversary of his assassination as a fitting tribute to a most illustrious son of Nigeria. He was declared a national hero on 1st October 1978 (Obikili, 2013).
CHAPTER THREE
RESEARCH METHODOLOGY
Introduction
This chapter introduced the description of the adopted research methodology which was applied during the study. It unravels the research design, population of the study, sample population, research instruments, instrument validity, and instrument reliability.
Research Design
A research design is a basic plan that guides the data collection and analysis phases of the research. (Kinnear & Taylor, 1996; Churchill & Iacobucci 2005) define research design as the blueprint that is followed to complete the study and it ensures that the study is relevant to the problem and will use economical procedure.
Thus, the research design for this study is Survey Research design. Survey research is defined as the collection of information from a sample of individuals through their responses to questions. (Check & Schutt, 2012, p 160). The survey type of research allows for a variety of methods to recruit participants, collect data and utilize various methods of instrumentation.
Population of Study
The entire number of units from whom evaluation representatives are drawn is referred to as the population (Parahoo, 2014). As defined by Saunders et al. (2012), a population is the total number of cases from which a sample is selected. Using undergraduates as a case study, this research aimed to examine the influence of naira redesign among undergraduate students in Gidan Waya.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
This chapter is targeted at analyzing the data collected adopting a simple percentage and frequency presentation. The presentation is done in a tabular form for clarity and easy understanding. To get the research data, 145 questionnaires were distributed and successfully collected from the respondents.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
Summary
The study aims to explore the impact of the redesign of the Nigerian Naira currency on undergraduate students. Questionnaires were designed based and admnistered to undergraduates in Gidan Waya on the research objectives, which focused on assessing the perception of undergraduate students on the Naira redesign policy, examining the impact of Naira redesign on undergraduate students’ financial behavior, and exploring the impact of Naira redesign on the frequency and type of financial transactions made by undergraduate students. The questionnaire assessed students’ awareness of the redesign policy, while the second questionnaire evaluated their perception of the policy’s impact on the country’s economy. The questionnaire also examined whether the redesign influenced the frequency and type of financial transactions made by the students. Also, the questionnaire assessed whether students faced any difficulties or challenges in using the new Naira currency for their financial transactions.
Conclusion
The redesign of the Naira currency has had a significant influence on undergraduate students in Gidan Waya. The introduction of new features such as the security thread, window thread, and new designs of the currency have increased the confidence of the students in the Naira as a currency. It has also helped to reduce the incidents of counterfeiting and fraudulent activities among the students. The redesign of the Naira currency has also led to increased awareness and appreciation of the country’s cultural heritage as the new designs feature important national symbols and landmarks. Overall, the redesign of the Naira currency has had a positive impact on undergraduate students in Gidan Waya, and it is expected to continue to play a crucial role in promoting the use of Naira as a reliable and secure currency.
Recommendations
Based on the findings of the research on the influence of Naira redesign among undergraduate students in Gidan Waya, the following recommendations are made:
Continuous awareness campaign: There is a need for continuous awareness campaigns to educate the public on the new features and designs of the Naira currency. This campaign should be targeted at undergraduate students and should emphasize the importance of the currency’s security features to reduce the incidents of counterfeiting.
Regular redesign: The Central Bank of Nigeria should consider regular redesign of the Naira currency to keep up with emerging technologies in currency security features. This will help to maintain the confidence of users in the currency and reduce the incidents of counterfeiting.
Collaboration with educational institutions: There is a need for collaboration between the Central Bank of Nigeria and educational institutions to incorporate the teaching of currency security features in the curriculum. This will help to promote the awareness and appreciation of the country’s cultural heritage.
Technology adoption: The Central Bank of Nigeria should consider adopting advanced technologies in the design and production of the Naira currency to make it more secure and difficult to counterfeit.
Research extension: This study focused on undergraduate students in Gidan Waya; however, there is a need to extend the study to other regions and demographics to obtain a more comprehensive understanding of the influence of Naira redesign on currency usage in Nigeria.
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