Fear of Naira Shortage as Officials Tell CBN Date to Retire Old Notes and Issue New Directive on New Notes

• The House of Representatives has urged the Central Bank of Nigeria (CBN) to expedite the distribution of new Naira notes and phase out the old currency before December 31, 2024.
• In the proposal led by Adam Victor Ogene, lawmakers highlighted the chaos and difficulties caused by the 2023 currency change and expressed concerns
• The House also stressed the need for the CBN to launch awareness programs to prepare Nigerians for the coming transformation

Abuja, FCT – The House of Representatives has asked the Central Bank of Nigeria (CBN) to increase circulation of the new N200, N500 and N1,000 banknotes and phase out the old banknotes from circulation.

The House of Representatives has urged the Central Bank of Nigeria (CBN) to ensure that commercial banks issue more new banknotes to customers and phase out the old ones.

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This request was made in a resolution adopted following a motion of urgent national importance tabled by Adam Victor Ogene (LP, Anambra).

The House also advised the CBN to launch awareness programs to inform Nigerians of the December 31, 2024 deadline and help them prepare for the transition period.

In leading the motion, Ogene recalled the difficulties, frustration, controversy and chaotic situation caused by the 2023 currency change of the Central Bank of Nigeria (CBN).

This change affected the validity of the old N200, N500 and N1000 Naira notes, leading to legal disputes.

Moreover, the shortage of new banknotes has caused unbearable hardship across the country due to the inability of the CBN to supply enough new banknotes.

He said:

“Pursuant to the subsequent judgment and order of the Supreme Court, N200, N500 and N1,000 banknotes will cease to be legal tender, means of exchange of goods and services in Nigeria and will also cease to circulate from January 1, 2025.”

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He expressed concern that the CBN had not initiated any awareness programs to inform Nigerians about the December 31, 2024 deadline.

He is concerned that Nigerians will face a more difficult situation than what occurred in February 2023 when, from January 1, 2025, the old N200, N500 and N1,000 banknotes will no longer be legal tender or a means of exchange for goods and services.

Former speaker recalls how politicians are spoiling the naira

Meanwhile, Legit.ng we had earlier reported that Yakubu Dogara, former Speaker of the House of Representatives, had proposed to the monetary authority to stabilize the weak naira by releasing unused foreign cash stashed in private vaults.

Dogara, who served as Speaker from 2015 to 2019, delivered a speech on Wednesday at The Platform Nigeria, a conference to mark Democracy Day in 2024 under the theme “Democracy and the Free Market Economy.”

Source: Legit.ng