Just In : Central Bank Threatens To Sanction Deposit Banks Rejecting Worn-Out, Damaged Naira Notes
The CBN directive stipulates that all DMBs must accept Naira banknotes regardless of their condition, as long as they remain recognisable as legal tender.
The Central Bank of Nigeria (CBN) has issued a stern warning to Deposit Money Banks (DMBs), threatening strict penalties for rejecting dirty or mutilated Naira banknotes from customers.
In a press statement signed by Solaja Mohammed J. Olayemi, Acting Director of the Currency Operations Department, the CBN emphasised the enforcement of circular COD/DIR/GEN/CIR/01/006, dated July 2, 2019, which mandates the acceptance of all legal tender Naira notes.
“We have noticed a trend where some banks are refusing to accept worn-out or damaged Naira notes,” Mr. Olayemi stated in a statement dated June 28, 2024 but pasted on its website on Wednesday, June 3, 2024. “This violates our established guidelines and undermines the integrity of our currency.”
The CBN directive stipulates that all DMBs must accept Naira banknotes regardless of their condition, as long as they remain recognisable as legal tender.
Failure to comply with these regulations will result in severe sanctions, it said.
“It is crucial for banks to uphold their responsibility in maintaining the quality and circulation of our currency,” Mr. Olayemi continued. “Rejecting Naira notes from customers under any pretext is unacceptable and will not be tolerated.”
The statement further urged the general public to report any instances of banknote rejection to the CBN for swift action.
The CBN assured the public of its commitment to ensuring fair access to banking services and preserving the value of Nigeria’s currency.
