The CBN also increased the Monetary Policy Rate (MPR), which measures interest rates, to 17.5 percent.
According to the Central Bank of Nigeria (CBN), the old N200, N500, and N1,000 notes will continue to be valid until January 31, 2023.
This was said by CBN Governor Godwin Emefiele after the meeting of the top bank’s Monetary Policy Committee (MPC) on Tuesday in Abuja.
The CBN also increased the Monetary Policy Rate (MPR), which measures interest rates, to 17.5 percent.
He asserts that the decrease in kidnapping and ransom demands is due to the redesign of the three banknotes.
He went on to say that Nigerians have plenty of time to visit commercial banks and obtain new notes before the deadline for exchanging old for new naira notes.
The CBN revealed its intention to redesign the three banknotes on October 26, 2022. On November 23, 2022, President Muhammadu Buhari revealed the revised N200, N500, and N1,000 notes; the apex bank set a January 31 deadline for the old notes’ validity.
As the deadline of January 31 draws closer, many Nigerians are worried that the three new naira notes won’t be used yet. However, the apex bank has said that the deadline still stands.
In order to get more money moving around, the Central Bank of Nigeria (CBN) recently told commercial banks that they couldn’t take payments for the new notes over the counter and had to fill their ATMs.
To help people in unbanked areas exchange their old notes for new ones in time for the deadline, the apex bank also started a cash swap program that is available nationally.
The House of Representatives, the Senate, and the Nigeria Governors’ Forum have all asked the CBN to push back the deadline so that more Nigerians can get the new notes.
