In a recent announcement, the Central Bank of Nigeria (CBN) has clarified that both the revamped and old banknotes continue to be recognized as legal tender. The CBN, through a statement released on Wednesday and endorsed by Dr. Isa Abdulmumin, Director of Corporate Communications, emphasized the importance of accepting both types of currency for all financial transactions.
The statement explicitly addresses concerns within the public regarding the legality of old Naira banknotes, affirming the continued acceptance of these banknotes for monetary exchanges. It cites Section 20(5) of the CBN Act, 2007, which underscores the status of every banknote issued by the CBN as legal tender.
Moreover, the CBN has directed its branches nationwide to consistently supply various denominations of both old and redesigned banknotes to deposit money banks. This move ensures an adequate circulation of currency among bank customers.
To alleviate the pressure on physical cash usage, the apex bank has also encouraged Nigerians to embrace online and alternative payment methods. By doing so, the reliance on physical cash can be reduced, promoting a more efficient and convenient financial ecosystem.
