CBN says old notes will no longer be accepted despite recent Supreme court ruling

CENTRAL Bank of Nigeria (CBN) officials have revealed that commercial banks will no longer accept the old naira notes from anyone wanting to exchange them despite a recent Supreme Court ruling asking them to do so.

On November 23 last year, the Central Bank of Nigeria (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, CBN chairman Godwin Emefiele announced a new deadline is now February 10. However, the last few weeks have been sheer hell for Nigerians as they have found it impossible to get hold of these new notes and this currency scarcity has created shortages in other areas, with petrol shortages now a chronic problem too.

In the midst of all this chaos, the Kaduna, Kogi and Zamfara state governments have asked Nigeria's Supreme Court to order the immediate suspension of the demonetisation policy. In its ruling on the matter, the court temporarily cancelled the CBN’s  February 10 deadline.

However,  in  defiance of the Supreme Court order, the CBN, declared that the old N200, N500 and N1000 naira notes have ceased being legal tender in Nigeria since February 10, 2023. Haladu Idris Andaza, the CBN’s branch controller in Bauchi made the declaration while briefing journalists yesterday in Bauchi.

Mr Andaza said: “For the avoidance of doubt, the CBN is ready and is open to receiving all of those old notes based on certain conditions and criteria. Customers are free to come to the bank and deposit, which they cannot do at the commercial banks anymore because the currency has ceased to be a legal tender since the 10th of this month.”

Across Nigeria, commercial banks are rejecting old naira deposits from customers. Nigerians in Delta, Lagos and Edo States, as well as the Federal Capital Territory and other parts of the country have also lamented that transporters are not accepting the old banknotes.