The Nigerian Senate has called on the Central Bank of Nigeria, CBN to extend the deadline set for the withdrawal of old naira notes.
The upper chamber of Nigeria’s National Assembly also on Wednesday threw its weight behind the CBN decision to redesign the national currency.
The CBN has set January 3, 2023, as the final date for the return of the N200, N500, and N1000 banknotes to its coffers as part of the apex bank’s decision to redesign the three notes.
CBN Governor Godwin Emefiele warned three weeks ago that the banknotes would no longer be accepted as legal tenders after the deadline set by the bank: “On the basis of these trends, problems, and facts, and in line with Sections 19, Subsections a and b of the CBN Act 2007, the Management of the CBN sought and obtained the approval of President Muhammadu Buhari to redesign, produce, and circulate new series of banknotes at N200, N500, and N1,000 levels.
“In line with this approval, we have finalized arrangements for the new currency to begin circulation from December 15, 2022. The new and existing currencies shall remain legal tender and circulate together until January 31, 2023 when the existing currencies shall seize to be legal tender.
“Accordingly, all Deposit Money Banks currently holding the existing denominations of the currency may begin returning these notes back to the CBN effective immediately. The newly designed currency will be released to the banks in the order of First-come-First-serve basis,” he said.
Nigerians are however divided on the date set by the apex bank to totally withdraw the banknotes. While some have called for an extension, others insist that the January 31, 2023 date must remain sacrosanct.
The intervention of the Senate that the deadline is reviewed will therefore be a welcome development to those calling for an extension, close watchers of the CBN said.
The decision of the Senate on the issue followed a motion on the policy by the Chairman, Senate Committee on Banking, Insurance and other Financial Institutions, Senator Sani Uba.
The lawmakers said the deadline of January 31st, 2023 to pay all cash in circulation into banks was too short, calling for aggressive enlightenment on the part of the CBN, especially in the rural areas to ensure that all Nigerians are educated of the new policy.
They insisted that such mass awareness would help Nigerians in rural areas to comply with the policy so as not to lose their hard-earned income.
They also urged the CBN to put measures in place in the face of ubiquitous Financial Technology (FinTech) to ensure that the local populace is able to bank their cash with ease within the stipulated time.
Such a measure, according to them would also ensure the security of the local population who might be waylaid and dispossessed of their cash by criminal elements like bandits and insurgents.
