The Central Bank of Nigeria (CBN) has dismissed insinuation that the old series of the N200, N500 and N1,000 banknotes would cease to be legal tender after December 31, 2024, saying there is no deadline in their circulation.
A statement signed by its Ag. Director, Corporate Communications, Sidi Ali Hakama, described the claims as false and calculated to disrupt the country’s payment system.
The response follows Thursday’s motion by the House of Representatives, directing the CBN to issue more N200, N500 and N1,000 new notes and commence the gradual withdrawal of the old notes from circulation before the December 31, 2024, deadline.
THEWILL recalls that the Supreme Court had, on November 29, 2023, ruled that old and new naira notes will co-exist as legal tender until further notice.
According to CBN, the Supreme Court’s ruling extending the validity of the old Naira notes indefinitely remains in effect.
It further reiterated that its directive to all its branches to continue to issue and accept all denominations of Nigerian banknotes, old and re-designed, to and from deposit money banks (DMBs) remains in force.
Consequently, CBN has urged Nigerians to continue to accept all Naira banknotes (old or redesigned) for their day-to-day transactions and handle them with the utmost care to safeguard and protect their lifecycle.
The statement reads: “The attention of the Central Bank of Nigeria (CBN) has been drawn to discussions at different fora suggesting that the old series of the N200, N500, and N1,000 banknotes shall cease to be legal tender on December 31, 2024.
“We wish to state categorically that such claims are false and calculated to disrupt the country’s payment system.
“For the avoidance of doubt, the order of the Supreme Court of Nigeria on Wednesday, November 29, 2023, granting the prayer of the Attorney-General of the Federation and Minister of Justice, to extend the use of old Naira banknotes ad infinitum, subsists.
“Similarly, the CBN’s directive to all its branches to continue to issue and accept all denominations of Nigerian banknotes, old and re-designed, to and from deposit money banks (DMBs) remains in force.
“It will be recalled that the Supreme Court ordered that the old series of N200, N500, and N1,000 banknotes shall continue to be legal tender alongside the redesigned versions.
“Accordingly, all banknotes issued by the Central Bank of Nigeria (CBN) will continue to remain legal tender indefinitely.
“We, therefore, advise members of the public to disregard suggestions that the said series of banknotes will cease to be legal tender on December 31, 2024.
“We urge Nigerians to continue to accept all Naira banknotes (old or redesigned) for their day-to-day transactions and handle them with the utmost care to safeguard and protect their lifecycle.
“Furthermore, the general public is encouraged to embrace alternative modes of payment, echannels, in order to reduce pressure on the use of physical cash.”
Culled: THEWILL