The challenges of the currency swap and the state of the Nation My Dear Compatriots, President Buhari made this announcement in a state-wide broadcast to the nation on Thursday morning. “I have given approval to the CBN.

​I have found it necessary to address you today on the state of the nation and to render an account of the efforts of our administration to sustain and strengthen our economy, enhance the fight against corruption and sustain our gains in the fight against terrorism and insecurity which has, undoubtedly, been impacted by several internal and external factors.

2.​Particularly, as your democratically elected President, I am addressing you to identify with you and express my sympathy over the difficulties experienced as we continue implementing new monetary policies to boost our economy and tighten the loopholes associated with money laundering.

3.​Let me reassure Nigerians that our administration’s top priorities are strengthening our economy, enhancing security, and blocking leakages associated with illicit financial flows.



And I shall stay committed to my oath of protecting and advancing the interest of Nigerians and the nation at all times.

4.​In the last quarter of 2022, I authorized the Central Bank of Nigeria (CBN) to redesign the N200, N500, and N1000 Nigerian banknotes.

5.​For a smooth transition, I similarly approved that the redesigned banknotes should circulate concurrently with the old banknotes until January 31 2023, before the senior notes cease legal tender.

6.​Appreciating the systemic and human difficulties encountered during implementation and in response to the appeal of all citizens, an extension of ten days was authorized till February 10 2023, to complete the process.

All these activities are being carried out within the ambit of the Constitution, the relevant law under the CBN Act 2007 and in line with global best practices.

7.​Fellow citizens, while I seek your understanding and patience during this transient implementation phase, I feel obliged to avail you of a few critical points underpinning the policy decision. These include:


UPDATED: Old N200 Notes to Remain in Use till April

a. The CBN needs to restore the statutory ability to keep firm control over the money in circulation. For example, in 2015, when this administration commenced its first term, Currency-in-Circulation was only N1.4 trillion.

b. The proportion of currency outside banks grew from 78%in 2015 to 85% in 2022. As of October 2022, therefore, currency in circulation had risen to N3.23 trillion; out of which only N500 billion was within the Banking System while N2.7 trillion remained permanently outside the system; thereby distorting the financial policy and efficient management of inflation;

c. The massive volume of Bank Notes outside the banking system has proven to be practically unavailable for economic activities and, by implication, retard the attainment of potential economic growth;
d. Economic growth projections make it imperative for government to aim at expanding financial inclusion in the country by reducing the number of the unbanked population; and



e. Given the prevailing security situation across the country, which keeps improving, it also becomes compelling for government to deepen its continuing support for security agencies to successfully combat banditry and ransom-taking in Nigeria

8.​Notwithstanding the initial setbacks experienced, the evaluation and feedback mechanism sset-uphas revealed that gains have emerged from the policy initiative.

9.​I have been reliably informed that since the commencement of this program, about N2.1 trillion out of the banknotes previously held outside the banking system have been successfully retrieved.

10.​This represents about 80% of such funds. In short to medium and long terms, therefore, it is expected that

there would be:

a. A strengthening of our macroeconomic parameters;
b. Reduction of broad money supply leading to a deceleration of the velocity of money in the economy, which should result in fewer pressures on domestic prices;
c. Lowering of Inflation as a result of the accompanying decline in the money supply that will slow the pace of inflation;
d. Collapse of Illegal Economic Activities, which would help to stem corruption and acquisition of money through illegal ways;
e. Exchange Rate stability;
f. Availability of Easy Loans and lowering of interest rates; and
g. Greater visibility and transparency of our financial actions translating to efficient enforcement of our anti-money laundering legislation.



INEC Reassures that election results cannot be tampered with.

CBN Insist on not going back on the old currency notes.


Cash crunch: President Buhari to addresses Nigerians

11.​I am not unaware of the obstacles placed on the path of innocent Nigerians by unscrupulous banking officials entrusted with implementing the new monetary policy. I am deeply pained and sincerely sympathize with you all over these unintended outcomes.

12.​To stem this tide, I have directed the CBN to deploy all legitimate resources and legal means to ensure that our citizens are adequately educated on the policy and enjoy easy access to cash withdrawal through the availability of the appropriate amount of currency and the ability to make deposits.

13.​I have similarly directed that the CBN should intensify collaboration with anti-corruption agencies to ensure that any institution or person(s) found to have impeded or sabotaged the implementation should be made to bear the total weight of the law.

14.​During the extended phase of the deadline for currency swap, I listened to invaluable advice from well-meaning citizens and institutions across the nation.

15.​I consulted widely with representatives of the State Governors and the Council of State. But, above all, as an administration that respects the rule of law, I have also noted that the subject matter is before the courts of our land, and some pronouncements have been made.

16. ​To further ease the supply pressures, particularly to our citizens, I have given approval to the CBN that the old N200 bank notes be released back into circulation and that they should also be allowed to circulate as legal tender with the new N200, N500, and N1000 banknotes for 60 days from February 10, 2023, to April 10, 2023, when the old N200 notes cease to be legal tender.

17.​In line with Section 20(3) of the CBN Act 2007, all existing old N1000 and N500 notes remain redeemable at the CBN and designated points.

18.​Considering the health of our economy and the legacy we must bequeath to the next administration and future generations of Nigerians, I admonish every citizen to strive harder to make their deposits by taking advantage of the platforms and windows being provided by the CBN.


President Buhari to Address Nigerians Amid Naira, Petrol

19.​Let me assure Nigerians that our administration will continue to assess the implementation to ensure that Nigerians are not unnecessarily burdened. In this regard, the CBN shall ensure that new notes become more available and accessible to our citizens through the banks.

20.​I wish to appeal for your understanding once again until we overcome this problematic transient phase within the shortest possible time.

21.​Fellow citizens, on February 25, 2023, the nation will elect a new President and National Assembly members. This new monetary policy has also contributed immensely to minimizing money’s influence in politics.

22.​This is a positive departure from the past and represents a bold legacy step by this administration towards laying a solid foundation for free and fair elections.

23.​I urge every citizen to vote for their candidates of choice without fear because security shall be provided, and your vote shall count.

24.​I, however, admonish you to eschew violence and avoid actions capable of disrupting the electoral processes. Finally, I wish us all a successful General election.

Thank you for listening. God bless the Federal Republic of Nigeria.



Want to get the news as it breaks?


Related Articles

Leave a Reply

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

Back to top button
%d bloggers like this: