• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Markets Currencies

What section 20 of CBN Act says about redeeming old naira notes

Cees Harmon by Cees Harmon
February 2, 2023
in Currencies, Economy, Exclusives, Monetary Policy
CBN cuts back on private sector interventions to combat rising inflation rate
Share on FacebookShare on TwitterShare on Linkedin

The central bank governor, Godwin Emefiele, informed the general public in a press release dated January 29, 2023, that it has extended the period for the cash swap of old naira notes to new naira notes from January 31st, 2023 to February 10th, 2023.

He also stated that Nigerians still had a further 7 days after February 10th to deposit the old naira notes at central bank branches. He cited section 20 of the CBN Act as a basis for the extension.

  • “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.”

Critics of the central bank policy have stated in the media and in public places that the central bank act cited by the governor also allows Nigerians to return the old notes in exchange for new ones for a period of up to 4 months.

RelatedStories

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 

July 12, 2025
FG sets new rule mandating SON certificate for contractors bidding on public projects

FG sets new rule mandating SON certificate for contractors bidding on public projects

July 12, 2025
  • “In fact, Speaker of the House of Reps, Femi Gbajabiamila stated that “the central bank act under section 20 allows the central bank to change the legal tender but it also says that after the expiration date, such naira notes change will no longer be legal tender but it says that even 5 months after, 3 months after, 2 months after, even in June only old notes presented to the bank shall be redeemed by the bank. That point needs to be made by the central bank to the public, it has not been made.”

But what does the act say?

  • “20.-(1) The currency notes issued by the Bank shall be legal tender in Nigeria at their face value for the payment of any amount.
    (2) The coins issued by the Bank shall, if such coins have not been tampered with, be legal tender in Nigeria at their face value up to such amount or amounts as may be determined, from time to time, by the Bank.
    (3) Notwithstanding Sub-sections (1) and (2) of this section, the Bank shall have power, if directed to do so by the President and after giving reasonable notice in that behalf, to call in any of its notes or coins on payment of the face value thereof and any note or coin with respect to which a notice has been given under this Sub-section, shall, on the expiration of the notice, cease to be legal tender, but, subject to section 22 of this Act, shall be redeemed by the Bank upon demand.”

The last sentence highlighted above is key as this is where the law mandates the central bank to keep redeeming the old notes upon demand. It did not make any reference to any time frame as stated by the Speaker of the house of reps.

Section 22 mentioned above also refers to the stolen, lost, or mutilated notes and not a specific time period defined by law.

  • “22.-(1) A person shall not be entitled to recover from the Bank the value of any
    notes lost, stolen, mutilated or imperfect note or coin.
  • (2) The circumstances in which, and the conditions and limitations subject to which, the value of the lost, stolen, mutilated or imperfect notes or coins may be refunded ex gratia shall be within the absolute discretion of the Bank.”

Follow us for Breaking News and Market Intelligence.
Cees Harmon

Cees Harmon

Related Posts

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 
Real Estate and Construction

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 

July 12, 2025
FG sets new rule mandating SON certificate for contractors bidding on public projects
Legal & Regulations

FG sets new rule mandating SON certificate for contractors bidding on public projects

July 12, 2025
US work permits, extension period for work permits, USCIS,
Economy

UK unveils simplified trade scheme to boost African exports, deepen economic ties 

July 12, 2025
Toyin Abraham’s Iyalode nears N300 million at Nigeria box office 
Business News

Toyin Abraham’s Iyalode nears N300 million at Nigeria box office 

July 12, 2025
Top 5 highest paid bank CEOs of 2022 
Financial Services

GTCO CEO Segun Agbaje: Banks had ample notice on forbearance loans – CBN’s action no surprise

July 12, 2025
Hollywood’s “Jurassic World: Rebirth” debuts N52.5 million in Nigerian cinemas
Business News

Hollywood’s “Jurassic World: Rebirth” debuts N52.5 million in Nigerian cinemas

July 12, 2025
Next Post
Following OPEC's mute mode, Nigeria can now finally meet its oil production quota

Following OPEC's mute mode, Nigeria can now finally meet its oil production quota

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 
  • FG sets new rule mandating SON certificate for contractors bidding on public projects
  • UK unveils simplified trade scheme to boost African exports, deepen economic ties 

Follow us on social media:

Recent News

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 

Lagos State orders immediate halt to reclamation activities at Orange Island over drainage violations 

July 12, 2025
FG sets new rule mandating SON certificate for contractors bidding on public projects

FG sets new rule mandating SON certificate for contractors bidding on public projects

July 12, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics