Old and Redesigned Naira Notes Remain Valid – CBN

The Central Bank of Nigeria’s directive ensures that both old and redesigned banknotes remain legal tender. Despite earlier concerns about cash shortages in major cities, the CBN reassures the public of sufficient availability of various denominations.

Legal Tender Assurance

In a statement by the Director of Corporate Communications, Isa AbdulMumin, the CBN emphasizes that every banknote issued by the central bank is legal tender, as outlined in Section 20(5) of the CBN Act, 2007.

Adequate Issuance to Deposit Money Banks

CBN branches nationwide are instructed to continue issuing different denominations of old and redesigned banknotes in ample quantities to Deposit Money Banks. This ensures a steady circulation of currency to bank customers.

Upholding the CBN Act

The CBN restates that all denominations of banknotes issued by them are legal tender, reinforcing the provisions of Section 20(5) of the CBN Act, 2007. This emphasizes that no one should reject the naira as a means of payment.

Public Advisory

The CBN advises the public to accept all CBN-issued banknotes currently in circulation and discourages panic withdrawals. It reaffirms the existence of a sufficient stock of currency notes to support normal economic activities.

Embracing Alternative Payment Methods

To alleviate pressure on physical cash usage, the public is encouraged to embrace alternative modes of payment. This aligns with the CBN’s efforts to promote diverse and convenient payment options.

Combatting Cash Shortages

In response to reports of cash shortages in major cities, the CBN’s proactive measures aim to maintain a steady flow of currency, ensuring the smooth functioning of economic activities.

Guarding Against Panic

The public is urged to guard against panic withdrawals, emphasizing the stability of the currency supply. Acceptance of the naira as a valid form of payment is crucial for sustaining normal economic transactions.