https://sputnikglobe.com/20230216/nigerias-president-buhari-extends-old-naira-circulation-for-60-days-amid-currency-crisis-1107511959.html
Nigeria's President Buhari Extends Old Naira Circulation for 60 Days Amid Currency Crisis
Nigeria's President Buhari Extends Old Naira Circulation for 60 Days Amid Currency Crisis
Sputnik International
Nigeria's President Muhammadu Buhari has directed the CBN to extend the circulation of old N200 notes to co-exist with new N200, N500 and N1,000 banknotes for 60 days due to cash shortages.
2023-02-16T15:52+0000
2023-02-16T15:52+0000
2023-02-16T15:52+0000
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Nigeria's President Muhammadu Buhari on Thursday directed the CBN to extend the circulation of old N200 notes to co-exist with new N200, N500 and N1,000 banknotes for 60 days after cash shortages hit the citizens of the largest African economy. He made this announcement during the address to the nation on the challenges of the currency swap in the country. He stated that the old 200 notes would continue to circulate in the economy alongside with the new ones until April 10. At the same time, the old 1,000 and 500 notes remain redeemable, can be swapped at the central bank and other "designated points."The decision was made as the new notes have been in short supply, which reportedly resulted in long queues and other difficulties in receiving cash at banks all over the country. The president apologized to Nigerians as many of them faced various hardships caused by the implementation of the naira redesign policy. He noted that he "sincerely sympathised" with everyone over these unintended outcomes. Buhari recalled that the policy is aimed at boosting the country's economy and "tightening of the loopholes associated with money laundering." He highlighted that despite the initial setbacks experienced, the evaluation mechanism set up by the governmnet revealed that some positive results have been gained from the policy initiative. Buhari assured that the government will continue the policy while ensuring that the citizens "are not unnecessarily burdened." He noted that in this regard the central bank should make the new notes more available and accessible through the banks across the country.The CBN had once extended the deadline for the swap of the old notes from January 31 to February 10 following complaints by Nigerians. But the country's Supreme Court has recently suspended the deadline for the transition to new naira banknotes due to a lawsuit launched by several state governors against the federal government. It was aimed at stopping the implementation of the transition due to banknote scarcity and other difficulties associated with it. The legal case has been adjourned on Wednesday until February 22.
https://sputnikglobe.com/20230208/nigerian-supreme-court-suspends-banknote-transition-deadline-amid-naira-scarcity-1107079461.html
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west africa, nigeria's currency, nigerian naira, currency crisis, central bank of nigeria (cbn)
west africa, nigeria's currency, nigerian naira, currency crisis, central bank of nigeria (cbn)
Nigeria's President Buhari Extends Old Naira Circulation for 60 Days Amid Currency Crisis
The redesign of the country's national currency naira was introduced by the Central Bank of Nigeria (CBN) last year in a bid to curb high inflation rates and to fight counterfeiting. It was previously announced that the deadline to turn in old banknotes was February 10, after which they would stop being legal tender.
Nigeria's President Muhammadu Buhari on Thursday directed the CBN to extend the circulation of old N200 notes to co-exist with new N200, N500 and N1,000 banknotes for 60 days after cash shortages hit the citizens of the largest African economy.
He made this announcement during the address to the nation on the challenges of the currency swap in the country. He stated that the old 200 notes would continue to circulate in the economy alongside with the new ones until April 10. At the same time, the old 1,000 and 500 notes remain redeemable, can be swapped at the central bank and other "designated points."
"To further ease the supply pressures particularly to our citizens, I have given approval to the CBN that the old N200 bank notes be released back into circulation and that it should also be allowed to circulate as legal tender with the new N200, N500, and N1000 banknotes for 60 days from February 10, 2023 to April 10 2023 when the old N200 notes ceases to be legal tender," Buhari said.
The decision was made as the new notes have been in short supply, which reportedly resulted in long queues and
other difficulties in receiving cash at banks all over the country.
The president apologized to Nigerians as many of them faced various hardships caused by the implementation of the naira redesign policy. He noted that he "sincerely sympathised" with everyone over these unintended outcomes.
Buhari recalled that the policy is aimed at boosting the country's economy and "tightening of the loopholes associated with money laundering." He highlighted that despite the initial setbacks experienced, the evaluation mechanism set up by the governmnet revealed that some positive results have been gained from the policy initiative.
According to the president, the currency in circulation grew from N1.4 trillion in 2015 when he assumed office to N3.23 trillion at the end of 2022. However, since the launch of the naira redesign policy N2.1 trillion of the cash in circulation have been retrieved.
Buhari assured that the government will continue the policy while ensuring that the citizens "are not unnecessarily burdened." He noted that in this regard the central bank should make the new notes more available and accessible through the banks across the country.
The
CBN had once extended the deadline for the swap of the old notes from January 31 to February 10 following complaints by Nigerians. But the country's Supreme Court has recently suspended the deadline for the transition to new naira banknotes due to a lawsuit launched by several state governors against the federal government. It was aimed at stopping the implementation of the transition due to banknote scarcity and other difficulties associated with it. The legal case has been adjourned on Wednesday until February 22.
8 February 2023, 16:51 GMT
