The Central Bank of Nigeria (CBN) has announced that the old N200, N500, and N1000 naira notes will continue to be accepted as legal tender indefinitely.
In a statement on Tuesday, Isa AbdulMumin, the Director of Corporate Communications, made this disclosure.
It is worth recalling that in October 2022, the CBN introduced redesigned N200, N500, and N1000 denominations, setting specific deadlines for the withdrawal of the old notes as legal tender.
However, the Supreme Court extended the validity of the old notes until 31st December 2023.
Nevertheless, the CBN has now expressed its intention to extend the deadline for the acceptance of the old design of N200, N500, and N1000 denominations as legal tender indefinitely. This decision aligns with international best practices and aims to prevent a recurrence of previous challenges.
“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 (CBN), following 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 (DMBS).
“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 utmost care to safeguard and protect the lifecycle of the banknotes.
“Also, the general public is encouraged to embrace alternative modes of payment, e-channels, for day-to-day transactions,” it said.