The Central Bank of Nigeria's (CBN) naira redesign policy can have disastrous effects on the nation and potentially lead to economic recession, according to a local media report.

The state governors disclosed the warnings in a communique signed by Nigeria Governors' Forum (NGF) chairman Governor Aminu Tambuwal of Sokoto State, Premium Times newspaper reported.

NGF said that the people's inability to use the new notes has led to severe economic consequences, including the emergence of a black market, food inflation, and variable commodity prices.

"The country runs the risk of a CBN-induced recession," it added.

Earlier this month, the Supreme Court temporarily halted the move by the federal government to ban the use of the old naira notes from February 10, 2023.

(Editing by Seban Scaria