CBN Obeys Supreme Court Order, But There's Still a Major Issue

Reading Time: 2 minutes

The Central Bank of Nigeria Governor, Godwin Emefiele, has officially ordered commercial banks to comply with the Supreme Court verdict that mandates the use of old N1,000 and N500 notes as legal tender until December 31, 2023. This decision was made 10 days after the Supreme Court judgement, which has put an end to the confusion over the legality of the old naira notes.

Emefiele stated that the old N200, N500 and N1,000 notes will remain legal tender till the end of the year, following a meeting with the Bankers Committee on Sunday. The Governor’s announcement is expected to ameliorate the suffering of Nigerians who have been facing severe hardships over the scarcity of new naira notes amidst the controversial ban on the old notes.

The Acting Director, Corporate Communications, Isa AbdulMumin, disclosed the latest development in a statement titled ‘Old N200, N500, and N1,000 banknotes remain legal tender – CBN’. In compliance with the established tradition of obedience to court orders and sustenance of the rule of law principle, Deposit Money Banks operating in Nigeria have been directed to comply with the Supreme Court ruling of March 3, 2023.

AbdulMumin said, “Accordingly, the CBN met with the Bankers’ Committee and has directed that the old N200, N500 and N1,000 banknotes remain legal tender alongside the redesigned banknotes till December 31, 2023. Consequently, all concerned are directed to conform accordingly.”

However, the apex bank was mute on the issue of cash withdrawal limit, which is still pegged at N20,000 daily on the counter and ATM points. The Naira scarcity has been mostly fueled by the cash limit on withdrawals and outright unavailability of cash in commercial banks.

Godwin Emefiele CBN Governor
Godwin Emefiele CBN Governor
©Standard Gazette, 2021. Unauthorized use and/or duplication of this material without express and written permission from this site’s publisher is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Standard Gazette with appropriate and specific direction to the original content.
Leave A Reply

Your email address will not be published.

Translate »