House of Representatives has tasked the Central Bank of Nigeria (CBN) with the need to sensitise Nigerians about the non-legal tender status of the old naira notes from the 1st of January, 2025.
The resolution was passed in sequel to the adoption of a motion of urgent national importance sponsored by the Leader of the Labour Party Caucus, Hon. Victor Ogene.
In his lead debate, Hon. Ogene recalled with nostalgia “the hardship, frustration, controversy, and chaotic situation occasioned by the CBN change of currency in 2023 that affected the validity of the old N200, N500, and N1,000 Naira notes at the time that resulted in litigation.
“The House of Reps also recalls the current scarcity that led to untold hardship in the nation as a result of the CBN’s inability to supply new versions of the changed currency notes.
“The House of Reps is aware that, going by the Supreme Court’s subsequent ruling and order, the N200, N500, and N1,000 notes shall cease to be legal tender, medium of exchange for goods and services in Nigeria, and shall also cease to be in circulation as from January 1, 2025.
“The House of Reps is concerned that the Central Bank of Nigeria (CBN) has not shown any sign of sensitisation or kicked off any awareness program to remind Nigerians about this important economic policy in order to make them prepare for the deadline of 31/12/2024.
“The House of Reps is worried that Nigerians will be plunged into more chaotic situations than what happened in February 2023, when the old N200, N500, and N1,000 notes shall cease to be legal tender and medium of exchange for goods and services as of January 1, 2025.
“The House of Reps is disturbed that the Central Bank of Nigeria ought to have started public awareness, such as jingles, television and radio announcements, social media postings, flyers, daily newspapers, and periodic magazine publications, three months before the deadline, but now with about two months to the deadline, yet nothing to show that the apex bank is prepared for the exercise.
The House of Reps is further worried that the Central Bank of Nigeria is still comfortably releasing the old N200, N500, and N1,000 notes mixed with the new N200, N500, and N1,000 notes for business transactions in Nigeria, instead of the gradual mopping up of the old notes from circulation or ordering commercial banks to do so by issuing out only the new notes.”
In the bid to avert another financial crisis, the lawmakers urged the Central Bank of Nigeria to issue more new N200, N500, and N1,000 notes and begin the gradual withdrawal of the old notes from circulation before the deadline of December 31, 2024.
The lawmakers also tasked Central Bank of Nigeria to order commercial banks to forthwith stop cash payments to their customers with old N200, N500, and N1,000 notes but instead engage in gradual mopping up of the old notes.
The lawmakers also harped on the need for the apex bank to kick-start awareness programs for Nigerians to be aware and prepare for the deadline of December 31, 2024.
To this end, the House of Reps mandated its Committee on Banking Regulations to ensure compliance and report back to the House within 21 days.
