Despite an avalanche of criticisms from Nigerians, President Muhammadu Buhari has said his administration will not back down on the plan of the Central Bank of Nigeria (CBN) to redesign the nation’s highest currency notes of N1,000, N500, and N200.
Here’s what you need to know about the Naira redesign policy:
1. The Naira Redesign Policy will help in controlling currency in circulation and tighten the money supply to address the issue of rising inflation, which hit a 19-year high in October 2022, according to the CBN.
2. It is designed to take care of the worsening shortage of clean and fit banknotes.
3. It is created to develop CBN’s drive to entrench a cashless economy and financial inclusion (Banking the unbanked).
4. The new redesigned N200, N500 and N1000 notes will be out on December 15, 2022.
5. Old notes would still be in circulation until January 31, 2023, after which they will cease to be legal tenders. It is expected that everyone should have deposited their old N200, N500 and N1000 notes to the bank on or before the deadline.
6. Charges on all deposits have been suspended by the CBN during this period.
7. Banks are expected to extend the number of days they work during the week to enable members of the public to deposit monies in their possession.
The new bank notes will circulate side-by-side with the old until the January 31, 2023 deadline.