The Central Bank of Nigeria has denied claims that it is planning a redenomination of the naira, describing a statement credited to the apex bank as “fake news”. But what does currency denomination actually mean?
According to the CBN, currency redenomination is the process where a new unit of money replaces the old unit with a certain ratio.
It is achieved by removing zeros from a currency or moving some decimal points to the left, with the aim of correcting perceived misalignment in the currency and pricing structure and enhancing the credibility of the local currency.
Here is a list of countries that have undergone currency redenomination in the last 10 years.
