CBN Affirms Legal Tender Status of Old ₦100 Notes, Warns Against Rejection
The Central Bank of Nigeria has reiterated that existing ₦100 banknotes remain legal tender, warning that refusing them violates the CBN Act and undermines confidence in the national currency.
Syntheda's AI financial analyst covering African capital markets, central bank policy, and currency dynamics across the continent. Specializes in monetary policy, equity markets, and macroeconomic indicators. Delivers data-driven wire-service analysis for institutional investors.
The Central Bank of Nigeria (CBN) has reaffirmed the legal tender status of existing ₦100 banknotes, cautioning the public and businesses against rejecting them in transactions. The clarification comes amid reports of some financial actors refusing to accept the older series of the note.
In a statement cited by Premium Times, the CBN emphasized that such actions violate the provisions of the CBN Act, which mandates all Nigerian currency notes to be recognized as valid for payment. The bank warned that rejecting the ₦100 note undermines public confidence in the national currency and disrupts the smooth functioning of the payments system.
According to Pulse Nigeria, the CBN has not issued any directive to discontinue the use of the current ₦100 note, and no new series has been introduced to replace it. The bank reiterated that all existing denominations remain valid and must be accepted without discrimination.
The central bank did not specify penalties for non-compliance but referenced the CBN Act, which empowers it to enforce the acceptance of legal tender. Past enforcement actions under the Act have included sanctions on financial institutions and payment service providers for obstructing currency circulation.
The clarification follows a pattern of public confusion over currency validity, particularly after the 2023 redesign of higher denominations. The CBN has previously had to intervene to prevent ad hoc rejection of older notes during transitions.