CBN bows to pressure and extends deadline for the submission of old notes until Feb 10

CENTRAL Bank of Nigeria (CBN) governor Godwin Emefiele has bowed to pressure and extended the extended the deadline for the exchange of old naira notes by 10 days  to February 10.

On November 23 last year, the CBN launched redesigned ₦‎200, ₦‎500 and ₦‎1000 banknotes, saying the naira was long overdue to wear a new look. Nigerians had been given until January 31 to hand in all old notes, after which time they will cease to be legal tender but the process has been fraught with difficulties, prompting the National Assembly to ask the CBN to extend the deadline.

Under pressure from all angles, Mr Emefiele announced this morning that the new deadline is now February 10. Announcing the 10 day grace period, he revealed that 75% of the N2.7trn ($5.86bn) held outside the banking system had been recovered since the start of the exercise.

Mr Emefiele said: “We are happy that so far, the exercise has achieved a success rate of over 75% of the N2.7trn held outside the banking system. Nigerians in the rural areas, villages, the aged and vulnerable have had the opportunity to swap their old notes; leveraging the Agent Naira Swap initiative as well as the CBN senior staff nationwide sensitisation team exercise.

“Aside from those holding illicit/stolen naira in their homes for speculative purposes, we do aim to give all Nigerians that have naira legitimately earned and trapped, the opportunity to deposit their legitimately trapped monies at the CBN for exchange. Based on the foregoing, we have sought and obtained Mr President’s approval for the following:

“A 10-day extension of the deadline from January 31, 2023, to February 10, 2023 to legitimately held by Nigerians and achieve more success in cash swap in our rural communities after which all old notes outside the CBN loses their legal tender status. Our CBN staff currently on mass mobilization and monitoring together with officials of the Economic and Financial Crimes Commission and Independent Corrupt Practices Commission will work together to achieve these objectives.

“A seven-day grace period, beginning on February 10 to February 17, 2023, in compliance with Sections 20(3) and 22 of the CBN Act allowing Nigerians to deposit their old notes at the CBN after the February deadline when the old currency would have lost its Legal Tender status. We, therefore, appeal to all Nigerians to work with the Central Bank of Nigeria to ensure a hitch free the implementation of this very important process for programme”