Nigerians have started to heave a sigh of relief as the order of the the Central Bank of Nigeria (CBN) to Money Deposit Banks (MDBs) to pay out and collect old N500 and N1,000 notes to customers enjoyed compliance in many states of the federation on Wednesday, March 15, 2023.
In a statement on Monday night, the CBN stated, “in compliance with the established tradition of obedience to court orders and sustenance of the rule of law principle that characterised the government of President Muhammadu Buhari and, by extension, the operation of CBN, as regulator, Deposit Money Banks operating in Nigeria have been directed to comply with the Supreme Court ruling of March 3, 2023.
Findings by our correspondents, who monitored banking services in various states, indicated reasonable level of compliance with the CBN directive as commercial banks paid their customers with old and new naira notes.
Following the directive of the CBN that the old N500 and N1,000 naira notes remain legal tender till December 31, commercial banks in Abeokuta, the Ogun State capital, have commenced payment of the currency denominations to its customers.
A visit to some banks located at Oke-Ilewo area of Abeokuta showed that old naira notes were being dispensed through the Automated Teller Machines (ATMs) as withdrawals as high as N20,000.
A Point on Sale (POS) operator who identified herself as Miss Favour Okafor, said the untold hardship Nigerians battled with in the past two months would soon be over with the old naira notes finding their way back into circulation.
In Bauchi, commercial banks have commenced the disbursement of both the new and old naira notes simultaneously to their customers in line with the directive of the CBN.
At some of the banks visited, anxious customers were seen waiting for their turn for entry into the banking hall to be able to make transactions.
At one of the banks, customers were spotted queueing to make withdrawals from the two ATM points that were dispensing cash, while those who have business going inside the banking hall also gained entry.
Also in Sokoto, our correspondent, who monitored the development, gathered that some of the banks in possession of old notes in the metropolis have started dispensing same, while others await the CBN for onward delivery.
While some of the commercial banks, including Unity bank, GTB, UBA, among others, were dispensing the old notes to customers, the story was not the same at Zenith Bank, Emir Yahya branch, as customers were stranded over non-availability of cash.
In Benin, capital of Edo State, virually all the commercial banks were paying old notes from the counter with the maximum of N20,000 each to their customer.
Speaking to our correspondent, a banker with the United Bank for Africa (UBA), who pleaded anonymity, said UBA branches across the state have complied with the Federal Government and CBN’s directives.
He disclosed that, UBA as a deposit bank, had started receiving the old notes from customers, particularly in compliance with the Supreme Court ruling.
In Ibadan, the Oyo State capital, banks, in compliance with the directive of the CBN, banks issued the old N500 and N1000 notes to their customers.
The notes were issued out both over the counter and through the ATM. Against the fears expressed before Monday’s directive by the apex bank, Nigerians were no longer hesitant to withdraw and receive the old naira notes on Tuesday.
At some of the banks, customers operating savings account were able to withdraw up to N20,000, while the maximum cash dispensed at ATM galleries did not exceed N10,000.
In Akure, capital of Ondo State, there was partial compliance with the directive of the CBN over the validity of old naira notes, as some banks commenced the payment of N500 and N1,000 denominations to their customers.
It was gathered that people besieged banks in Alagbaka, while customers were issued old notes, most of the banks ATMs were not dispensing cash.
A customer said “most of the banks are paying N200, N500 and N1,000 notes, but said the naira notes are not sufficient. I can confirm that they are paying out N500 and N1,000 to customers today. We hope this will bring relief to us.
In the Federal Capital Territory (FCT), Abuja, Deposit Money Banks (DMBs) collected the old N200, N500 and N1,000 notes from depositors in compliance with the CBN. directive.
Hopes of many residents of Osun state got dashed at various banks in the state on Tuesday as they went back to their different homes dejectedly following the disappointment experienced from financial institutions, which refused to collect old naira notes from them as directed by the apex bank in the country.
It was gathered that old notes of N500 and N1,000 were loaded in the banks’ ATMs, where customers withdraw cash but, old notes brought by customers into their banking halls were not collected in some banks.
Meanwhile, residents of the state are now using the old notes to transact business in compliance with the directive of the court.
Speaking with our correspondent, one of the food vendors, who identified herself as Mummy Bose at Odi- olowo area of Osogbo, said “we have started collecting old naira notes from our customers since the concerned authorities had declared it to be legal tender”.
