CBN extends legal status of old N200, N500, N1,000 banknotes as legal tender indefinitely

*The Central Bank of Nigeria says it extends the legal tender status deadline of the old design of N200, N500 and N1,000 denominations ad infinitum in accordance with Section 20(5) of the CBN Act 2007 and  international best practices

Isola Moses | ConsumerConnect

The Central Bank of Nigeria (CBN) Tuesday, November 14, 2023, has said the banking sector regulator is extending the legal tender status deadline of the old design of N200, N500 and N1,000 denominations indefinitely in line with international best practices.

The Bank recalled that it introduced the redesign of N200, N500 and N1,000 denominations October 2022, and certain deadlines were set for the old design of these denominations to cease as legal tenders.

Dr. AbdulMumin Isa, Director of Corporate Communications at CBN, in a statement issued Tuesday, November 14, 2023, in Abuja, FCT, however said: “Without prejudice, the Central Bank of Nigeria wishes to inform the general public of its desire to extend the legal tender status deadline of the old design of N200, N500 and N1,000 denominations, ad infinitum.

“This is in line with international best practices and to forestall a repeat of earlier experiences.

The Bankers’ Bank noted: “Thus, all banknotes issued by the Central Bank of Nigeria (CBN), in accordance with Section 20(5) of the CBN Act 2007, will continue to remain legal tender, ad infinitum, even beyond the initial December 31, 2023, deadline.

“The Central Bank of Nigeria is working with the relevant authorities to vacate the subsisting court ruling on the same subject.”

The statement also said: “Accordingly, all CBN branches across the country will continue to issue and accept all denominations of Nigerian banknotes, old and redesigned, to and from deposit money banks (DMBs).

“The general public is enjoined to continue to accept all Naira banknotes (old or redesigned) for day-to-day transactions and handle these banknotes with utmost care, to safeguard and protect the lifecycle of the banknotes.”

The Bank further urged the Nigerian public to embrace alternative modes of payment, e-channels, for their day-to-day transactions in the West African country’s economy.