On Sunday 29th January 2023, the CBN extends deadline for old naira notes swaps with new date as deadline as announced by the CBN Governor. The Central Bank of Nigeria recently redesigned some of its naira notes. The naira notes redesigned were the higher denominations. The CBN initially gave 31st January 2023 as the deadline for the old naira notes swaps. The new naira notes have been heavily criticised with many people saying the duration given by the CBN is not enough for the old notes to phase out.
Some commercial banks in the country have also experienced long queues because Nigerians are struggling to beat the original deadline of 31st January. Meanwhile, the new notes have been scarcely available for citizens to use, This has made cash transactions very difficult.
This announcement that CBN extends deadline for old naira notes swaps is a welcome development. The extension in date is coming after so many groups like the Governors, Traditional rulers, Legislators Politicians and even the Nigerians as a whole pleaded that CBN extends deadline for old naira notes swaps. The CBN Governor further stated that 75% of the 2.7 Trillion that was outside the banking system has been recovered.
Reasons Why CBN Extends Deadline For Old Naira Notes Swaps
The Central Bank of Nigeria Governor Godwin Emefiele in a press release stated that he had a meeting with President Muhammadu Buhari on Sunday 29th January where he briefed him on the developments and the feedback he has gotten so far. Based on this, the President approved the extension of the deadline by ten (10) days. The Press release states thus:
“Aside from those holding illicit/ stolen Naira in their homes for speculative purposes, we do aim to give all Nigerians that have Naira legitimately earned and trapped, the opportunity to deposit their legitimately trapped monies at the CBN for exchange. Based on the foregoing, we have sought and obtained Mr President’s approval for the following”
“A 10-day extension of the deadline from January 31, 2023, to February 10, 2023; to allow for the collection of more old notes nationwide legitimately held by Nigerians and achieve more success in cash swap in our rural communities after which all old notes outside the CBN losses their Legal tender Status.”
The central bank also stated that a further 7 days period will be granted to Nigerians to deposit the money at the central bank, if they missed the February 10th deadline earmarked for cash swaps.
“A 7-day grace period, beginning on February 10 to February 17, 2023, in compliance with Sections 20(3) and 22 of the CBN Act allowing Nigerians to deposit their old notes at the CBN after the February deadline when the old currency would have lost its Legal Tender status.”
“We, therefore, appeal to all Nigerians to work with the Central Bank Of Nigeria to ensure a hitch-free implementation of this very important process for the program.“