“I have given approval to the CBN that the old ₦200 bank notes be released back into circulation and that it should also be allowed to circulate as legal tender with the new N200, ₦500, and ₦1000 banknotes for 60 days from Feb. 10, 2023, to April 10 2023”.
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President Buhari’s intention is to ease the disruptive impact of the current demonetization process in Nigeria. Even though the country’s Supreme Court has temporarily suspended the process after three governors from Northern Nigeria filed a lawsuit challenging the redesign of the Naira, many businesses and individuals in the country have already begun to refuse the old Naira notes, which stopped being legal tender on February 10, 2022. This is happening even though there is a nationwide shortage of new notes.
“The money is rarely available at the POS, ATM and Bank Counters. You have money in the bank, but you can’t spend it,”a Lagos resident told Connect Nigeria. Recent media reports claimed that Godwin Emefiele, who serves as the Governor of the Central Bank of Nigeria (CBN), informed the National Council of State that Nigeria lacks the capability to produce enough new Naira notes. However, on Friday, February 10, 2023, the CBN denied these allegations.
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“We wish to state categorically that at no time did the CBN Governor disclose this during his presentation to the National Council of State,”Osita Nwanisobi, CBN’s Director of Corporate Communications, said in a statement seen by Connectnigeria.com.
“We also wish to restate that the Nigerian Security Printing and Minting Company (NSPMC) has the capacity and enough materials to produce the required indent of the Naira.”In the midst of the shortage of new Naira notes, there have been demonstrations and the destruction of physical assets belonging to banks. This has happened because there are long lines of unhappy customers inside banking halls and at ATMs throughout the country trying to obtain new notes. Moreover, CICO agents have begun charging ten times the usual fee for cash withdrawals, and they are also refusing to accept old notes for deposits, as seen in Lagos and Oyo located in Southwest Nigeria.
How To Deposit Old Naira Notes At The CBN
“In line with Section 20(3) of the CBN Act 2007, all existing old ₦1000 and ₦500 notes remain redeemable at the CBN and designated points,”Buhari added.
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The Central Bank of Nigeria (CBN) has introduced a portal for people to exchange their old currency notes through a Cash Deposit Program. Unlike the Cash Swap Program, which involved exchanging old notes for new notes, this program will involve crediting the individual’s bank account after their account has been verified by the bank and law enforcement agencies. Invalidated accounts will receive deposit notes returned to them. According to the CBN, this process may take up to four weeks. Before participating in the cash deposit program at the CBN, individuals need to generate a reference code on the CBN cash return portal and have an active bank account, bank verification number, and valid national identity card. The cash deposit window will close on Friday, February 16, 2023. Featured Image Source: Leftover Currency
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