CBN Says Old, new  Naira notes remain legal

The Central Bank of Nigeria (CBN) says all Naira notes issued by it remain legal tender.

CBN’s Director, Corporate Communications Department, Isa AbdulMumim, made this clarification in a statement on Wednesday.

AbdulMumim’s clarification was against the backdrop of reported scarcity of Naira notes across some major cities in the country.

According to AbdulMumim, there is sufficient cash stocks in all locations across the country.

“Our attention has been drawn to reports of scarcity of cash across some major cities in the country despite assurances of sufficient cash stocks in all locations across the country.

“There have also been reports of anxiety among some members of the public over the legality or otherwise of old Naira banknotes.

“For the avoidance of doubt, we reiterate that there are sufficient banknotes across the country for all normal economic activity.

“We wish to state unambiguously that every banknote issued by the CBN remains legal tender and should not be rejected by anyone, as stipulated in the CBN Act,” he said.

He said that all branches of the apex bank across the country have been directed to continue to issue different denominations of old and redesigned banknotes in adequate quantities to Deposit Money Banks for onward circulation to bank customers.

Abdulmumim urged the Nigerian public to accept all CBN-issued banknotes currently in circulation and guard against panic withdrawals.

He also advised members of the public to continue to embrace alternative modes of payment to reduce pressure on the use of physical cash.

“We reaffirm that there is sufficient stock of currency notes to facilitate normal economic activities.

“Furthermore, to reduce the pressure on the use of physical cash, Members of the public are again advised to continue to embrace alternative modes of payment,” he said.

The News Agency of Nigeria (NAN) recalls that the CBN, under the leadership of its embattled former governor,  Godwin Emefiele,  announced the introduction of the redesign of N200, N500 and N1,000 banknotes in October,  2022.

Emefiele, had said the banknotes were redesigned due to a request from the President Muhammadu Buhari led Federal Government.

He explained that the Naira redesign policy would enable the CBN to take control of the currency in circulation, manage inflation, combat counterfeiting, and ransom payment

However,  in March, due to the hardship that the policy  brought on Nigerians, the Supreme Court declared that the policy breached the fundamental rights of the citizens in various ways.

The apex court also nullified the policy, declaring it as an affront to the 1999 Constitution.

President Bola Tinubu,  however, extended the deadline for the legal tender status of the old Naira notes to Dec.  31.

NEWS CREDIT: NAN