CBN Speaks on Circulation of Old Naira Notes, Addresses Reported December 31st Deadline

• Reports that the former series of N200, N500, and N1,000 banknotes will be discontinued have been refuted by the CBN
• This is amid rumour that the old naira note will no longer be accepted by December 31, 2024
• CBN stated that all of its banknotes will be recognized as legal tender indefinitely alongside the new notes

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

Reports that the former series of N200, N500, and N1,000 banknotes will no longer be accepted as legal tender by December 31, 2024, have been refuted by the Central Bank of Nigeria.

The CBN stated in a statement issued Thursday by Sidi Hakama, acting director of corporate communications, that the Supreme Court of Nigeria's ruling on Wednesday, November 29, 2023, to continue using old naira banknotes remains in effect indefinitely.

“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.

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“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.”

Alongside the new notes, the Supreme Court ruled that the previous series of N200, N500, and N1,000 banknotes would remain legal tender.

The CBN stated that all of its banknotes will therefore always be accepted as lawful money.

“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.

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“Furthermore, the general public is encouraged to embrace alternative modes of payment, e-channels, in order to reduce pressure on the use of physical cash emphasised that such reports are false and intended to disrupt the nation’s payment system.”

CBN makes another a move to monitor forex

Legit.ng reported that the UK is working with the Central Bank of Nigeria (CBN) and the Nigeria Financial Intelligence Unit (NFIU) to keep an eye on illicit inflows, said UK Ambassador Dr. Richard Montgomery.

During yesterday's policy discussion on the state of anti-corruption policy and practice in Nigeria by Agora Policy in Abuja, the ambassador asserted that beneficial ownership registers have been helpful in tracking down illicit inflows.

According to Montgomery, the UK is not exempt from responsibility for the movement of illegal inflows.

Source: Legit.ng