The Central Bank of Nigeria (CBN) today reiterated that all the banknotes it issued are legal tender and should not be rejected by anyone, as stipulated in Section 20(5) of the CBN Act, 2007.
It also reassured that “there are sufficient banknotes across the country for all normal economic activities.”
These clarifications followed “reports of anxiety among some members of the public over the legality or otherwise of old Naira banknotes.”
The Director, Corporate Communications, CBN, Dr. Isa AbdulMumin, in a statement said this became imperative amid “reports of a scarcity of cash across some major cities in the country despite assurances of sufficient cash stocks in all locations across the country.”
He added that “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.
“We wish to restate that all denominations of banknotes issued by the Central Bank of Nigeria (CBN) remain legal tender. In line with Section 20(5) of the CBN Act, 2007, no one should refuse to accept the Naira as a means of payment.
“Consequently, members of the public are advised to accept all CBN-issued banknotes currently in circulation and guard against panic withdrawals.
“We reaffirm that there is sufficient stock of currency notes to facilitate normal economic activities.”
However, the public are advised to continue to embrace alternative modes of payment, “to reduce the pressure on the use of physical cash.”
We wish to restate that all denominations of banknotes issued by the Central Bank of Nigeria (CBN) remain legal tender. In line with Section 20(5) of the CBN Act, 2007, no one should refuse to accept the Naira as a means of payment.
