Nigerian naira banknotes are seen in this picture illustration
Reuters

The Central Bank of Nigeria has extended the window for exchanging old naira notes by ten days (CBN).

According to CBN Governor Godwin Emefiele, the new deadline is Feb. 10, 2023.

The Governor told reporters Sunday morning that he had received President Muhammadu Buhari's consent for the extension. "Based on the preceding, we have sought and obtained Mr. President's approval for the following: a 10-day extension of the deadline from Jan. 31, 2023, to Feb. 10, 2023, to allow for the collection of more old notes legitimately held by Nigerians and achieve more success in cash swap in our rural communities after which all old notes outside the CBN loses their Legal Tender Status," he said, as reported by Punch.

However, Nigerians will still be allowed to deposit their old notes with the CBN until Feb. 17, 2023, referred to as the grace period. "A 7-day grace period, beginning on Feb. 10 to Feb. 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," said Emefiele, as per Cable.

Emefiele further asserted that Nigerians now have the chance to exchange their old naira notes for new ones. Because the deadline won't be extended again, he said, individuals must take advantage of the opportunity.

He also revealed that 75% of the N2.7 trillion stored outside the country's banking system had been recovered.

The Central Bank launched new 200, 500, and 1000 naira notes last year and set a deadline for note exchange till Jan. 31, 2023. However, the scarcity of new naira notes had put pressure on the apex bank to extend the deadline.

Emefiele provided no additional information regarding the steps the central bank has taken to alleviate the shortage of the new notes.

Meanwhile, President Buhari on Saturday supported the Central Bank of Nigeria's (CBN) plan to phase out the existing 200, 500, and 1000 naira notes.

According to a statement from the Presidency, Buhari stressed that the policy targets those stockpiling illicit funds rather than the average person and that it is vital to stop counterfeit goods, corruption, and terrorist funding.