In a recent announcement, the Central Bank of Nigeria (CBN) has moved to clear up any misconceptions surrounding the acceptance of its issued banknotes. Amid concerns that old banknotes might lose their legal tender status by December 2023, leading to their rejection in certain regions, the CBN has reaffirmed the validity of these notes.
According to a statement released by the apex bank on a Wednesday and signed by its Director of Corporate Communication, Isah Abdulmunin, the CBN has not initiated the withdrawal of the old banknotes. The central bank sought to ease public apprehension by stating, “There have also been reports of anxiety among some members of the public over the legality or otherwise of old Naira banknotes.”
The CBN unequivocally asserted that all banknotes issued by the Central Bank of Nigeria (CBN) remain legal tender and should not be declined, as mandated by Section 20(5) of the CBN Act, 2007. The central bank further emphasized that there is an ample supply of banknotes throughout the country to support regular economic transactions.
To reinforce this commitment, the CBN has instructed its branches nationwide to continue issuing various denominations of both old and redesigned banknotes in sufficient quantities to deposit money banks (DMBs) for circulation to bank customers.
The CBN emphasized, “We wish to restate that all denominations of banknotes issued by the Central Bank of Nigeria (CBN) remain legal tender.” In accordance with Section 20(5) of the CBN Act, 2007, it is imperative that no one refuses to accept the Naira as a valid form of payment. The public is encouraged to accept all CBN-issued banknotes currently in circulation and refrain from engaging in panic withdrawals.
