CBN, House of Representatives Clash Over Future of Old Naira Notes

The Central Bank of Nigeria (CBN) and the House of Representatives found themselves at odds yesterday over the future of old naira notes. The House, led by lawmaker Afam Victor Ogene, urged the CBN to commence a gradual withdrawal of old naira notes, preparing citizens for a final phaseout by December 31, 2024. In response, however, the CBN firmly dismissed reports of an imminent expiration date, asserting that the old N200, N500, and N1,000 notes remain legal tender until further notice.

The CBN, through a statement by Acting Director of Corporate Communications Mrs. Sidi Ali, reaffirmed its commitment to the continued circulation of both old and redesigned naira notes. Emphasizing the Supreme Court’s November 2023 ruling, which supports the indefinite circulation of the old notes, the CBN cautioned against speculating on a withdrawal timeline. Mrs. Ali stated, “The directive to withdraw the old notes remains purely speculative and disruptive to the country’s payment system.”

Meanwhile, Ogene, in a motion highlighting urgent national interests, pointed to the logistical and economic hardships experienced during the 2023 currency redesign. He cited these past challenges as a reason for early and widespread awareness among citizens about any eventual phaseout. Ogene pressed for clarity, stating, “Without early preparation, Nigerians may face even greater difficulties than those experienced in 2023 if the old notes become unusable at the start of 2025.”

Expressing his concerns about the lack of public sensitization, Ogene noted that the CBN has not yet launched any public campaigns, such as jingles, television ads, or social media posts, to educate citizens on a potential transition deadline. Instead, the bank continues releasing both old and new notes into circulation, with no visible plans for a systematic withdrawal, according to Ogene.

While the CBN urges Nigerians to disregard unverified expiration dates, the House of Representatives remains firm in its call for public awareness initiatives.