The House of Representatives has called on the Central Bank of Nigeria (CBN) to begin a phased withdrawal of old naira notes and ensure the distribution of new N200, N500, and N1,000 denominations.
This decision came on Thursday during the adoption of an urgent motion presented by Victor Ogene, a representative from Ogbaru Federal Constituency, Anambra State, during a plenary session in Abuja.
The lawmakers directed the CBN to instruct commercial banks to carry out transactions solely with the new notes, aiming to streamline the process of withdrawing the old currency.
The new naira notes were introduced by the CBN in October 2022 and officially entered circulation in December of the same year. However, the withdrawal of old notes encountered widespread public resistance, as many Nigerians struggled to access the newly designed currency.
Following legal challenges, the Supreme Court extended the validity of the old naira notes until Decemberlllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllll lllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllll 31, 2024, after which they will no longer serve as legal tender in Nigeria.
While leading the debate, Ogene emphasized that the challenges during the naira redesign have worsened due to the CBN’s failure to adequately distribute new notes. He expressed concerns about the lack of preparedness, warning that a repeat of the chaos experienced in February 2023 could occur when the old notes were abruptly pulled from circulation.
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Ogene criticized the CBN for not initiating a public awareness campaign, suggesting that the central bank should utilize media jingles, announcements, and other methods to educate citizens at least three months ahead of the deadline. He also noted that instead of gradually withdrawing the old currency, both the old and new notes are still being used for daily transactions.
In its resolution, the House urged the CBN to print and distribute more of the new notes and begin a gradual withdrawal process well before the December 31, 2024 deadline.
