The House of Representatives is urging the Central Bank of Nigeria to withdraw old currency notes and increase the supply of new ones to ease cash shortages.
The House of Representatives has requested that the Central Bank of Nigeria (CBN) increase the availability of new N200, N500, and N1,000 notes while also initiating a gradual withdrawal process for the old currency from circulation.
The House also requested that the CBN instruct commercial banks to distribute more new notes to customers and gradually phase out the old ones.
In a resolution initiated by Adam Victor Ogene (LP, Anambra), concerning an urgent national issue, the House urged the Central Bank of Nigeria (CBN) to begin awareness campaigns so that Nigerians are informed and ready for the December 31, 2024 deadline.
Leading the discussion on the motion, Ogene highlighted the difficulties, frustration, controversy, and chaos caused by the Central Bank of Nigeria’s 2023 currency change. This move affected the validity of old N200, N500, and N1,000 naira notes at that time and led to legal disputes.
He also remembered how the shortage of new currency notes caused significant hardship across the nation due to the Central Bank’s failure to provide sufficient quantities of these revised bills.
He stated that, according to the Supreme Court’s recent ruling and order, the N200, N500, and N1,000 notes will no longer be legal tender or used as a medium of exchange for goods and services in Nigeria. Additionally, they will stop circulating starting January 1, 2025.
He expressed concerns that the CBN has neither initiated any awareness programs nor made efforts to remind Nigerians about this crucial economic policy, which is essential for preparing them ahead of the December 31, 2024 deadline.
He warned that Nigerians will face even more chaotic situations than those experienced in February 2023, once the old N200, N500, and N1,000 notes are no longer legal tender or accepted for transactions starting January 1, 2025.
He believes the CBN should have initiated public awareness campaigns, including jingles, TV and radio announcements, social media posts, flyers, daily newspaper articles, and periodic magazine publications three months before the deadline. However, with only two months remaining until the deadline no signs indicate that the apex bank is ready for this exercise.
He also voiced his concern that, instead of a gradual phase-out, the CBN continues to release old N200, N500, and N1,000 notes alongside their new counterparts for business transactions in Nigeria. He suggested they should be gradually removing the old notes from circulation or instructing commercial banks to distribute only the new ones.
Peoplesmind
