The Nigerian House of Representatives has urged the Central Bank of Nigeria (CBN) to accelerate the distribution of newly printed N200, N500, and N1,000 banknotes while implementing a phased withdrawal of older currency notes.
This directive is particularly pressing as the nation nears the December 31, 2024, deadline for the old notes to cease being recognized as legal tender, a decision upheld by the Supreme Court.
The resolution was prompted by a motion from Adam Victor Ogene (LP, Anambra), who highlighted the critical need for increased availability of new banknotes within Nigeria’s banking system to avert potential economic disruptions.
Ogene emphasized that the CBN must ensure commercial banks are sufficiently stocked with the new currency to meet public demand while methodically withdrawing the old notes from circulation.
In his address, Ogene warned of significant economic consequences if the CBN does not act swiftly.
He stated, “According to the Supreme Court’s ruling, the N200, N500, and N1,000 notes will no longer be legal tender or medium of exchange in Nigeria starting January 1, 2025.” This deadline underscores the urgency of the situation, as the country faces challenges in transitioning its currency.
Another pressing issue raised by Ogene and other lawmakers is the lack of a comprehensive public awareness campaign to inform citizens about the upcoming currency changes.
The House noted that the CBN should have initiated a nationwide sensitization effort well in advance, utilizing various media platforms—including television, radio, newspapers, and social media—to educate the public.
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Ogene criticized the CBN for not implementing public awareness initiatives, such as jingles, television and radio spots, social media outreach, flyers, and newspaper advertisements, three months prior to the transition deadline.
With only two months remaining, lawmakers expressed disappointment over the absence of visible preparations by the CBN.
The House of Representatives has called on the CBN to act swiftly to establish measures that will prevent confusion and disruption to everyday financial transactions.
Additionally, the lawmakers emphasized the need to focus on educating rural and underserved communities, who may have limited access to banking services and digital transactions, about the impending currency changes.
The CBN is now expected to respond to the House’s recommendations and clarify its strategy for ensuring a smooth transition ahead of the January 2025 deadline.
As the deadline looms, the effectiveness of the CBN’s preparations will be crucial in maintaining stability in Nigeria’s economy and ensuring that citizens are adequately informed and prepared for the forthcoming changes.