CBN: No Plan to Phase-out Redesigned Naira Notes

James Emejo in Abuja

The Central Bank of Nigeria (CBN) yesterday refuted insinuations that it planned to withdraw the recently redesigned N1000, N500 and N200 currency denominations from circulation.

The central bank’s clarification came against the backdrop of a fake news circulating in the media, particularly social media space that the apex bank was considering phasing out the banknotes that were scarce.
However, CBN acting Director, Corporate Communications Department, Dr. Isa AbdulMumim, in a statement stated, “such speculation is unfounded and a ploy by some interests to cause panic among members of the public.”

AbdulMumim stressed that the new and old currency notes have been circulating side by side just as the apex bank had been taking delivery of a good quantity of the redesigned denominations from the Nigerian Security Printing and Minting Company (NSPMC) Limited.

He said, “Furthermore, we are committed to supplying the approved indent for the smooth running of the economy.
“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.”

The CBN spokesman emphasised that the redesigned banknotes would circulate side-by-side for transactions ahead of the December 31, 2023 deadline, when the old N1000, N500 and N200 banknotes would eventually be phased out – and advised the public to be guided accordingly.  
Earlier on March 13, the central bank,  following the Supreme Court order which extended the validity of the old N200, N500, and N1,000 notes till December 31,  2023, affirmed the affected currency denominations remained legal tender.

The bank had also directed deposit money banks (DMBs) operating in the country to comply with the apex court ruling of March 3, 2023.  
AbdulMumin, said the declaration by the apex bank was in compliance with the established tradition of obedience to court orders and sustenance of the rule of law.

The CBN acting director particularly noted that the administration of President Muhammadu Buhari, and by extension, the CBN had been known to obey the laws of the land, hence the decision to abide by the judgement.

The apex bank stated that, “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.”