Nigeria: CBN denies phasing out New Naira Notes

Nigeria’s Central Bank has denied plans to phase out the newly redesigned Naira Notes in circulation.

The CBN disclosed this in a statement on Sunday (April 30, 2023), reacting to social media reports that it plans to withdraw the recently redesigned N1,000 N500 and N200 currency banknotes from circulation.

CBN Assured Nigerians that it has taken delivery of newly minted notes from the Minting Company Limited.

Unfounded statements

In the statement by its, Acting Director, Corporate Communications Department, Isa AbdulMumin, they called the media reports, and an unfounded ploy to cause panic, they said:

• “We wish to emphatically state that such speculation is unfounded and a ploy by some interests to cause panic among members of the public.
• “The new and old currency notes have been circulating side by side.
• “The CBN has been taking delivery of a good quantity of the redesigned banknotes from the Nigeria Security Printing and Minting Company Limited.”

Legal tender

The CBN boss added that the redesigned and old notes will continue to be accepted as legal tender, urging Nigerians to disregard fake news on CBN’s monetary policy as the CBN is committed to supplying the “approved indent” for the smooth running of the economy, adding:

• “We, therefore, urge members of the public to disregard any report suggesting a phase-out of the redesigned currency.
• “For the avoidance of doubt, the redesigned and old notes will continue to be accepted as legal tender.
• “They will circulate side-by-side for transactions ahead of the Dec. 31 deadline, when the old N1,000, N500 and N200 banknotes will eventually be phased out.”

What you should know

Earlier reports stated that The Central Bank of Nigeria said that the old N200, N500, and N1,000 banknotes remain legal tender till December 31, 2023, after the Supreme Court’s ruling ordering the federal government to accept the old naira notes as legal tender until December 31, 2023, they said:

• “In compliance with the established tradition of obedience to court orders and sustenance of the Rule of Law Principle that characterized the government of President Muhammadu Buhari, and by extension, the operations of the Central Bank of Nigeria (CBN), as a regulator, Deposit Money Banks operating in Nigeria have been directed to comply with the Supreme Court ruling of March 3, 2023.
• “Accordingly, the CBN met with the Bankers’ Committee and has directed that the old N200, N500 and N1000 banknotes remain legal tender alongside the redesigned banknotes till December 31, 2023.
• “Consequently, all concerned are directed to conform accordingly.”