CBN Rules Out Extension of the Deadline for Phase-Out of Old N200, N500, and N1,000 Notes

CBN Rules Out Extension of the Deadline for Phase-Out of Old N200, N500, and N1,000 Notes

  • The Central Bank of Nigeria (CBN) has restated its resolve to phase out outdated naira notes over the next 57 days
  • The former naira notes, which the top bank revised, comprise the 200, 500, and 1,000 notes
  • Despite appeals from lawmakers and groups for an extension, the CBN emphasized that there would be no  deadline change

The Central Bank of Nigeria (CBN) has ruled out the deadline extension for withdrawing old Naira notes from circulation.

CBN had said in October that the old Naira notes would seize to be legal tender from circulation on January 31, 2023.

This means from today, Monday, 5th December, the old notes have only 56 days.

CBN N1000, N200, N100 notes
CBN is not ready to extend deadline to phase out new notes Credit: @cbn
Source: Getty Images

In a new Twitter post, CBN reiterated there would be no deadline extension to the phase-out of the old notes.

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The post also showed the number of days left before the old naira notes will seize. be a lender tender.

The apex bank wrote:

“The current series of N200, N500, and N1,000 notes remain legal tender until the deadline of January 31, 2023.”

What to expect with the redesigning of the naira

Meanwhile, Amina Halidu-Giwa, Deputy Director of the Currency Operations Department, Central Bank of Nigeria (CBN), has told Nigerians not to expect the new Naira notes to have a positive effect on the value of the currency.

According to her, the improvement of the naira against foreign currencies is determined by export volume in Nigeria, not the change in the outlook of the naira.

She said this during a webinar themed, ‘Naira Redesign Policy: Implications for the Nigerian Economy, organised by the Institute of Chartered Accountants of Nigeria (ICAN), Nsukka and District Society (NDS) branch.

Halidu-Giwa also disclosed that the new Naira notes has a Mint Tracking System (MTS) to track initial recipients of new banknotes when the illegal sale of new banknotes arises.

During her presentation, Halidu-Giwa said the benefits of the change in naira outlook are; a reduction of cash management expenditure and enhanced visibility & control of the money supply.

Others include streamlining the volume of banknotes in circulation, disrupting counterfeit activity, and promoting the adoption of e-commerce transacting channels, which will enhance financial inclusion.

Halidu-Giwa, who is the Head of Currency Policy Development for CBN, also said redesigning the naira will disrupt the black or underground economy, such as terrorism and money laundering.

New Naira: Nigerian banks announce new working days, closing time

Meanwhile, in an earlier report, Legit.ng revealed that Nigerian banks have announced changes to their operating hours in order to assist Nigerians holding soon-to-expire Naira currencies

The banks have already announced that they have delivered notifications of their working hours via their social media channels and customers' emails

Details of the contents of their emails and changes were captured by Legit.ng.

Source: Legit.ng

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