CBN provides update on the validity of old N1000, N500, and N200 banknotes.

In a recent statement, the Central Bank of Nigeria (CBN) has reaffirmed that the old N1000, N500, and N200 banknotes remain valid and legal tender throughout the nation. This clarification was issued by CBN spokesperson Hakama Sidi Ali on Friday, amidst growing concerns over cash scarcity despite directives aimed at ensuring adequate cash availability in Automated Teller Machines (ATMs).

The CBN’s announcement addresses the misinformation circulating regarding the status of the old banknotes. It emphasizes that, in accordance with a Supreme Court ruling dated November 29, 2023, all versions of the N1000, N500, and N200 denominations are permitted to circulate concurrently and indefinitely. Thus, both the old and new designs of these banknotes, as well as previous designs of the N100 denomination, remain valid for transactions.

The CBN urges the public to disregard claims suggesting that the old banknotes will cease to be legal tender after December 31, 2024. Citizens are encouraged to accept all Naira banknotes for their daily transactions and to handle them with care to maintain their condition.

In light of ongoing cash shortages, the CBN also advocates for the adoption of alternative payment methods, such as electronic banking channels, to alleviate the reliance on physical cash. This initiative aims to enhance the efficiency of transactions while reducing the pressure on cash supplies.

As the situation evolves, the CBN remains committed to providing clarity and assurance regarding the currency in circulation, reinforcing the importance of both old and new banknotes in Nigeria’s economy.