From Uche Usim, Abuja
The Central Bank of Nigeria (CBN) has again expressed worries that some Nigerians have continued to hoard naira notes and in some instances, reject the old notes, despite repeated assurances that there was sufficient volume of paper currency to power the economy.
CBN’s Spokesman, Dr Isa Abudulmumin, in a statement said it was troubling to learn that some jurisdictions are experiencing scarcity of cash, a development that can hurt such cities economically.
“There have also been reports of anxiety among some members of the public over the legality or otherwise of old Naira banknotes.
“For the avoidance of doubt, while reiterating that there are sufficient banknotes across
the country for all normal economic activity, we wish to state unambiguously that every banknote issued by the CBN remains legal tender and should not be rejected by anyone, as stipulated in Section 20(5) of
the CBN Act, 2007.
“Accordingly, branches of the CBN across the country have been directed to continue to issue different denominations of old and redesigned banknotes in adequate quantities to deposit money banks (DMBs) for onward circulation to bank customers”, Abudulmumin stated.
He warned that on no account should anyone refuse to accept the naira as a means of payment.
“Consequently, members of the public are advised to accept all CBN-issued banknotes
currently in circulation and guard against panic withdrawals. We reaffirm that there is sufficient stock of currency notes to facilitate normal economic activities.
Furthermore, to reduce the pressure on the use of physical cash, members of the public are again advised to continue to embrace alternative modes of payment”, he added.