House of Representatives Urges CBN to Withdraw Old Naira Notes and Increase Circulation of New Currency
Detailed Summary:
The Nigerian House of Representatives has called on the Central Bank of Nigeria (CBN) to begin a phased withdrawal of old naira notes (N200, N500, and N1,000) and to ensure wider distribution of the redesigned notes ahead of a legal deadline. This appeal was made during a plenary session on Thursday, where Rep. Victor Ogene, representing Ogbaru Federal Constituency, moved a motion highlighting the urgency of the transition.
Ogene noted that the CBN had introduced the redesigned notes in October 2022, but citizens faced significant challenges due to an inadequate supply. He expressed concern that the Supreme Court’s order mandates that old notes will no longer be accepted as legal tender from January 1, 2025. With only two months remaining, the CBN has yet to adequately prepare Nigerians for the change, risking a repeat of the disruption experienced in February 2023 when the redesigned notes first launched.
The House advised the CBN to take immediate steps to inform the public through awareness campaigns across various media channels, including jingles, television, and social media. They also noted that the CBN should phase out the old notes instead of continuing to distribute them alongside the new currency.
Following the adoption of the motion, the matter was referred to the House Committee on Banking Regulations for further legislative action.
Detailed Summary:
The Nigerian House of Representatives has called on the Central Bank of Nigeria (CBN) to begin a phased withdrawal of old naira notes (N200, N500, and N1,000) and to ensure wider distribution of the redesigned notes ahead of a legal deadline. This appeal was made during a plenary session on Thursday, where Rep. Victor Ogene, representing Ogbaru Federal Constituency, moved a motion highlighting the urgency of the transition.
Ogene noted that the CBN had introduced the redesigned notes in October 2022, but citizens faced significant challenges due to an inadequate supply. He expressed concern that the Supreme Court’s order mandates that old notes will no longer be accepted as legal tender from January 1, 2025. With only two months remaining, the CBN has yet to adequately prepare Nigerians for the change, risking a repeat of the disruption experienced in February 2023 when the redesigned notes first launched.
The House advised the CBN to take immediate steps to inform the public through awareness campaigns across various media channels, including jingles, television, and social media. They also noted that the CBN should phase out the old notes instead of continuing to distribute them alongside the new currency.
Following the adoption of the motion, the matter was referred to the House Committee on Banking Regulations for further legislative action.