The Central Bank of Nigeria (CBN) has directed all its branches across the country to continue the issuance of different denominations of old and redesigned Naira notes in adequate quantities to deposit money banks (DMBs) for onward circulation to bank customers.
The apex bank further affirmed that all bank notes issued by it are legal tender for transactions, and warn no one should refuse to accept the Naira as a means of payment.
The bank’s declaration comes on the heels of reports of scarcity of cash across some major cities in the country despite assurances of sufficient cash stocks in all locations across the country.
In a statement issued Wednesday by CBN Director of Corporate Communications, Dr AbdulMumin Isa, it dismisses anxiety being nursed over legality
or otherwise of old naira banknotes.
“For the avoidance of doubt, while reiterating that there are sufficient banknotes across the country for all normal economic activity, we wish to state unambiguously that every banknote issued by the Central Bank of Nigeria (CBN) remains legal tender and should not be rejected by anyone, as stipulated in Section 20(5) of the CBN Act, 2007”.
“Accordingly, branches of the CBN across the country have been directed to continue to issue different denominations of old and redesigned banknotes in adequate quantities to deposit money banks (DMBs) for onward circulation to bank customers”.
The apex declared that all denominations of banknotes issued it remain legal tender. In line with Section 20(5) of the CBN Act, 2007. To this end, it advised members of the public to accept all CBN-issued banknotes currently in circulation and guard against panic withdrawals, noting that, there is sufficient stock of currency notes to facilitate normal economic activities.
However, to reduce pressure on the use of physical cash, it urged members of the public to continue to embrace alternative modes of payment.
