June 25, 2024

Central News

at the center of it

CBN extends use of old N200, N500 and N1,000 banknotes indefinitely

TRUE to a campaign mantra orchestrated by Mallam Nasir el-Rufa’i on behalf of (now)President Bola Ahmed Tinubu, the Central Bank of Nigeria (CBN) has directed that old N200, N500 and N1,000 banknotes will remain legal tender.
The CBN had introduced the redesign of those denominations of the Naira in October, 2022 amidst national controversy and angst.
Certain deadlines were also set for the old notes of these denominations to cease as legal tenders, after rancorous judicial contentions and inaction by a lethargic President Muhammadu Buhari.
But, this Tuesday, the CBN informed the public of its desire to extend the legal tender status deadline of the old design of N200, N500 and N1,000 denominations, indefinitely.
“This is in line with international best practices and to forestall a repeat of earlier experiences,” says Isa AbdulMumin, CBN director of corporate communications.
“Thus, all banknotes issued by the Central Bank of Nigeria (CBN), in accordance with S.20(5) of the CBN Act 2007, will continue to remain legal tender, ad infinitum, even beyond the initial December 31, 2023, deadline.
“The Central Bank of Nigeria is working with the relevant authorities to vacate the subsisting court ruling on the same subject.
“Accordingly, all CBN branches across the country will continue to issue and accept all denominations of Nigerian banknotes, old and redesigned, to and from deposit money banks (DMBs).
“The general public is enjoined to continue to accept all Naira banknotes (old or redesigned) for day-to-day transactions and handle these banknotes with utmost care, to safeguard and protect the lifecycle of the banknotes.
“Also, the general public is encouraged to embrace alternative modes of payment, e-channels, for day-to-day transactions.”