CBN makes U-turn on over- the-counter payment -

The Central Bank of Nigeria (CBN) on Thursday directed deposit money banks to start over-the-counter payment of new naira to customers, as against its earlier directive to the banks to only dispense the new notes through their Automated Teller Machines (ATMs).

The CBN also assured the public that the queues being witnessed at ATMs across the country will soon disappear, saying it is working to address the challenge.

The apex bank, in a statement signed by Osita Nwanisobi, director, corporate communications department, said: “The CBN has observed, with grave concern, the activities of persons who sell the newly redesigned banknotes and those who flagrantly abuse the legal tender by hurling wads of naira notes in the air and stamping on the currency at social functions,” he said.

According to the statement, the CBN has equally noticed the queues at ATMs across the country and an upward trend in the cases of people stocking and aggregating the newly introduced banknotes they serially obtain from ATMs for reasons best known to them. Also worrisome are the reported cases of unregistered persons and non-bank officials swapping banknotes for members of the public, purportedly on behalf of the CBN.

“We wish to state unequivocally that, contrary to the practice of these unpatriotic persons, it is unlawful to sell the naira, hurl (spray), or stamp on the currency under any circumstance whatsoever,” it said.

For the avoidance of doubt, the statement said Section 21(3) of the Central Bank of Nigeria Act 2007 (As amended) stipulates that “spraying of, dancing or matching on the Naira or any note issued by the Bank during social occasions or otherwise howsoever shall constitute an abuse and defacing of the Naira or such note and shall be punishable under the law by fines or imprisonment or both.”