Economy

CBN extends validity of old naira indefinitely

Published

4 weeks ago

November 15, 2023

Olayiwola Quadril

The Central Bank of Nigeria has announced its intention to extend the validity of the old N200, N500, and N1,000 noted indefinitely.

This is as the apex bank declared its desire to extend the validity of old naira notes beyond any expiry date. According to the bank, it is working with the relevant authorities to vacate the subsisting court ruling on the same subject.

The bank disclosed this in a statement signed by the Director, Corporate Communications, Isa AbdulMumin, on Tuesday.

The statement titled, ‘CBN To Allow Old Design Naira Banknotes as Legal Tender, Ad Infinitum,’ said the decision is line with international best practices and to forestall a repeat of earlier experiences.

The statement read, “Without prejudice, the Central Bank of Nigeria wishes to inform the general public of its desire to extend the legal tender status deadline of the old design of N200, N500 and N1,000 denominations; ad infinitum.

“This is in line with international best practices and to forestall a repeat of earlier experiences. Thus, all banknotes issued by the Central Bank of Nigeria, in accordance with Section 20(5) of the CBN Act 2007, will continue to remain legal tender, ad infinitum. even beyond the initial December 31, 2023, deadline.

“The Central Bank of Nigeria is working with the relevant authorities to vacate the subsisting court ruling on the same subject. Accordingly, all CBN branches across the country will continue to issue and accept all denominations of Nigerian banknotes, old and redesigned, to and from deposit money banks.

“The general public is enjoined to continue to accept all Naira banknotes (old or redesigned) for day-to-day transactions and handle these banknotes with utmost care, to safeguard and protect the lifecycle of the banknotes. Also, the general public is encouraged to embrace alternative modes of payment, e-channels, for day-to-day transactions.”

This is the third statement the CBN has issued concerning naira notes in recent times. Earlier this month, it clarified that there was no scarcity of naira in the country. Later, it announced that every banknote remains legal tender and should not be rejected by anyone.

The apex bank has had to clear the air on the naira following a March ruling by the Supreme Court that asked the CBN to allow old N200, N500, and N1,000 notes to continue as legal tender till December 31, 2023, after the bank announced a new naira design policy and expiration dates for the denominations.

The former Governor of the Central Bank of Nigeria, Godwin Emefiele, in October 2022 disclosed a plan to redesign some naira denominations (N200, N500, and N1000 notes) and reduce currency circulation.

According to Emefiele, the currency move was to control currency in circulation as well as curb counterfeit currency and ransom payments to kidnappers and terrorists. He stated that the existing old N200, N500, and N1,000 notes would retain their legal tender status until January 31, 2023.

The apex would later extend its deadline until February 10, 2023, but the Zamfara, Kogi, and Kaduna state governments would on February 3 file a suit against the Attorney-General of the Federation on the policy.

Lagos, Ondo, Ekiti, Kano, Sokoto, Ogun, and Cross River would later join the suit as co-plaintiffs. In a ruling in March 2023, the Supreme Court invalidated the new naira design policy because it was not done with due consultation and in line with constitutional provisions.

With this new CBN directive, Nigerians can now expect to spend old N200, N500, and N1000 beyond December 2023.

The National President, Association of Mobile Money and Bank Agents in Nigeria, Victor Olojo, recently told The PUNCH, “The new decision of the Central Bank of Nigeria to retain both the old and new notes is a good and positive development, particularly coming out to clear the speculations before December that was initially set, at least to forestall the scarcity issue that happened earlier in the year.”

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Economy

NNPC Reacts As Lamido Says Tinubu Should Not Double As Petroleum Minister

Published

2 days ago

December 8, 2023

Olayiwola Quadril

The Nigerian National Petroleum Company Limited (NNPCL) has reacted to the allegations made by the former Governor of the Central Bank of Nigeria (CBN), Sanusi Lamido Sanusi.

Recall that Sanusi had said President Bola Tinubu should not double as the Minister of Petroleum.

Sanusi made the submission on Thursday while speaking at The Bank Directors Summit held at the Congress Hall of the Transcorp Hilton in Abuja.

According to him, the advice is necessary in order to have someone who can be held accountable because if anything goes wrong in the petroleum sector, people would not want to speak against the President.

The former Emir of Kano also called for the Nigerian National Petroleum Company Limited (NNPCL) audit, noting that this call cost him his job as the CBN Governor.

However, speaking on the matter during an interview with Punch, NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, said there would be no need for an official response to the claims made by the ex-CBN boss.

The NNPC said it was focused on delivering the task set for the national oil company, stressing that everyone was free to air their opinion.

He explained that constant responses could hinder the enormous task before the oil company, adding that NNPC would rather concentrate on handling the work that it was established to deliver.

“Everyone is entitled to their opinion. Constant responses to every individual can hinder our work. Our focus remains on delivering energy security, managing ongoing projects, and implementing reforms,” Soneye stated

Economy

Kyari seeks just energy transition for Africa at COP 28

Published

5 days ago

December 5, 2023

Olayiwola Quadril

The Group Chief Executive Officer (GCEO), Nigeria National Petroleum Corporation (NNPC) Ltd, Mr. Mele Kyari, yesterday reflected on the search for sustainable solution to decarbonised energy.

He said the African Continent needed “a just, differentiated transition” to harness its resources for the benefit of its future generations.

Kyari spoke at a Regional CEO Panel organised by McKinsey & Company on the sidelines of the ongoing United Nations Conference on Climate Change (UNCCC) in Dubai, United Arab Emirate (UAE).

The GCEO, who joined other global energy leaders from the United States, Holland, and Oman to highlight energy perspectives and insights on the evolving energy market, said the world must understand Africa’s peculiarities in addressing the effects of climate change on energy businesses.

In a statement by NNPC’s Chief Corporate Communications Officer, Mr. Olufemi O. Soneye, the GCEO called for a differentiated energy transition.

Kyari said: “I have always advocated for a differentiated and just energy transition. In Africa, we have different circumstances compared to other places in the world.

“In Africa today, 75 per cent of our population doesn’t have access to electricity, leaving us with biomass as a key energy source. The world needs to recognize that the most practicable thing today is to substitute what we have in the short term to close the energy gap for our rising population.”

Noting that Nigeria may be among the global top 10 economies by 2035 and third in terms of the global population, Kyari said the energy poverty question should be discussed as nations unite to achieve net zero by 2050.

He said with abundant natural gas reserves of 206 trillion cubic feet (tcf) that have the potential to rise to 600tcf, Nigeria is currently utilizing gas to drive its journey towards energy transition.

Kyari said NNPC Ltd was creating a regional gas pipeline network to supply natural gas across the African continent and boost its Liquefied Natural Gas (LNG) supply to the foreign market.

He said the idea of eliminating gas flares from gas projects was meant to deploy the gas towards developing power plants nationwide.

Kyari said the move will boost national electricity supply, create employment opportunities, and trigger the nation’s industrial and economic development.

He said that to demonstrate NNPC Ltd’s commitment to a net-zero future by 2025, the Company recently signed up as a participant in the United Nations Global Compact in New York, becoming the first state-owned oil company to join the global initiative

Economy

CBN gets new spokesperson

Published

1 week ago

December 1, 2023

Olayiwola Quadril

The Central Bank of Nigeria (CBN) has appointed a professional Public Relations practitioner, Mrs Hakama Sidi Ali, as its new Acting Director of Corporate Communications.

Mrs Ali is a recognised member of the Nigeria Institute of Public Relations (NIPR), who served as Deputy Director in the same Department at the Bank before her latest appointment.

The NIPR has for years sustained the campaign to stop government agencies, individuals and corporate organisations from the illegal practice of appointing non-professionals and quacks as spokespersons.

The Economic Confidential gathered that The new CBN spokesperson is a 1992 graduate of the Bayero University, Kano, where she bagged a Bachelor of Arts degree in Mass Communication.

She also has an MSc in Mass Communication and PGDE in English Language.

Apart from NIPR, Mrs Ali is also a member of other reputable professional bodies like the Chartered Institute of Loan and Risk Management (CILRM), Chartered Institute of Personnel Management of Nigeria (CIPMN), Africa Development Studies Centre (ADSC), Toastmasters International and many others. (By PRNigeria)