The Central Bank of Nigeria (CBN) and the House of Representatives yesterday clashed over their positions on the old naira notes. While the House of Representatives directed the apex bank to begin the gradual withdrawal of the old notes from circulation, the CBN dismissed the report that the old N200, N500, and N1,000 banknotes will cease to be legal tender on December 31, 2024.

In a statement signed by Mrs. Sidi Ali, the Acting Director of Corporate Communications, the CBN maintained its stand on the legality of the old notes, warning that the directive to withdraw the old notes remains in the realms of rumour and intended to disrupt the country’s payment system.

Mrs. Ali emphasised that the Supreme Court ruling on November 29, 2023, allowing the old banknotes to remain in circulation indefinitely remains valid.

The CBN also reiterated its directive to its branches to continue accepting and issuing all denominations of Nigerian banknotes, both old and redesigned, in transactions with deposit money banks (DMBs).

The CBN encouraged the public to disregard any rumours suggesting that old Naira notes will no longer be legal tender by the end of 2024, urging Nigerians to accept and use all Naira banknotes for daily transactions.

But in a resolution following a motion of urgent national importance by Adam Victor Ogene (LP, Anambra), the House said the Central Bank of Nigeria (CBN) should kick-start awareness programmes for Nigerians to be aware and prepare for the deadline of December 31, 2024.

Leading the debate on the motion, Ogene recalled the hardship, frustration, controversy and chaotic situation occasioned by the Central Bank of Nigeria (CBN) change of currency in 2023, that affected validity of the old N200, N500 and N1,000 Naira notes at the time that resulted in litigations.

He also recalled that the scarcity of the new currency notes led to untold hardship in the nation as a result of the CBN’s inability to supply new versions of the changed currency notes.

He said “going by the Supreme Court’s subsequent ruling and order, the N200, N500 and N1,000 notes shall cease to be legal tender, medium of exchange for goods and services in Nigeria, and shall also cease to be in circulation as from January 1, 2025.

He expressed concern that the Central Bank of Nigeria (CBN) has not shown any sign of sensitization or kick-started any awareness programme to remind Nigerians about this important economic policy in order to make them prepare for the deadline of 31/12/2024.

He said Nigerians will be plunged into more chaotic situations than what happened in February, 2023, when the old N200, N500 and N1,000 notes shall cease to be legal tender and medium of exchange for goods and services as from January 1, 2025.

According to him, the Central Bank of Nigeria (CBN) ought to have started public awareness, such as Jingles, Television and Radio announcements, Social Media postings, Flyers, Daily Newspapers and Periodic Magazines publications three (3) months before the deadline but now with about two months to the deadline, yet nothing to show that the apex bank is prepared for the exercise.

He also expressed concern that rather than a gradual withdrawal, the Central Bank of Nigeria (CBN) is still comfortably releasing the old N200, N500 and N1,000 notes mixed with the new N200, N500 and N1,000 notes for business transactions in Nigeria, instead of the gradual mopping up of the old notes from circulation or ordering commercial banks to do so by issuing out only the new notes.