The Central Bank of Nigeria (CBN) has announced the extension of the validity of the old N200, N500, and N1,000 notes indefinitely.
Isa AbdulMumin, the apex bank’s Director of Corporate Communications, issued a statement titled “CBN To Allow Old Design Naira Banknotes As Legal Tender, Ad Infinitum” on Tuesday, stating that the decision is in line with worldwide best practices and is intended to avoid a repeat of previous policy implementation mistakes.
Chronicle NG reports that the CBN introduced the redesigned N200, N500, and N1.000 denominations in October 2022, and certain deadlines were set for the old designs of these denominations to cease to be legal tenders.
The statement read, “Without prejudice, the Central Bank of Nigeria wishes to inform the general public of its desire to extend the legal tender status deadline of the old design of N200, N500, and N1,000 denominations ad infinitum.
“This is in line with international best practices and to forestall a repeat of earlier experiences.
“Thus, all banknotes issued by the Central Bank of Nigeria, in accordance with Section 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.
“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 the utmost care to safeguard and protect the lifecycle of the banknotes.
“Also, the general public is encouraged to embrace alternative modes of payment, such as e-channels, for day-to-day transactions.”
