Abuja — Nigeria’s central bank will allow old bank notes to continue as legal tender until year-end to comply with a court order earlier this month, the bank said in a statement late on Monday, raising hopes this would ease acute cash shortages in the economy.
The Supreme Court on March 3 ordered the Central Bank of Nigeria (CBN) to extend until Dec. 31 the use of old 1,000, ($2.17) 500 and 200 naira notes, whose initial withdrawal from circulation became an election issue after it caused widespread hardship and anger.
CBN said it was complying with the law and that the old notes would circulate with new ones of equivalent value.
In a country where most people rely on cash for everything from buying food from markets to taxi fares, the shortages of naira bills has riled citizens, some of whom have attacked banks and burned cash-dispensing machines.
*Camillus Eboh; MacDonald Dzirutwe; Editing: Sandra Maler – Reuters
Follow us on twitter