The Central Bank of Nigeria (CBN) has reiterated that the old and newly redesigned naira notes remain legal tender. The CBN emphasized this point following Section 20(5) of the CBN Act, 2007.
Despite previous assurances of adequate cash stocks across the country, there have been growing concerns over cash availability in some major cities. These concerns have led to anxiety among the public regarding the legality of old Naira banknotes.
Isa AbdulMumin, the Director of Corporate Communications at the CBN in a statement said: “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.”
To address these concerns and ensure the smooth circulation of currency, the CBN has directed its branches throughout the country to continue issuing different denominations of both old and redesigned banknotes in adequate quantities to deposit money banks (DMBs) for onward distribution to bank customers.
The CBN’s message is clear: all denominations of banknotes issued by the CBN are legal tender, and in line with Section 20(5) of the CBN Act, 2007, no one should refuse to accept Naira banknotes as a means of payment.
The top bank reassured that there is an ample stock of currency notes to support normal economic activities, and members of the public are encouraged to accept all CBN-issued banknotes currently in circulation and avoid panic withdrawals.
Furthermore, the CBN urged the public to embrace alternative modes of payment to reduce the reliance on physical cash, thus helping to alleviate the pressure on cash supply. This move is in line with the global trend toward digital and electronic payment methods.