CBN Threatens To Sanction Banks Rejecting Dirty Naira Notes

CBN has threatened to sanction banks rejecting dirty Naira notes.

NaijaOnPoint Nigeria reports that the Central Bank of Nigeria (CBN) has warned banks in the country against rejecting dirty and mutilated Naira notes, saying it will effectively sanction any bank that is found guilty of rejecting the banknotes.

In a circular dated June 28, 2024, signed by the Acting Director, Currency Operations Department, CBN, Mr. Solaja Mohammed, and made public on the apex bank’s website on Wednesday, it stated that it has received several reports of rejection of dirty/mutilated Naira banknotes by some Deposit Money Banks (DMBs).

The circular reads: “Consequently, it has become imperative to remind DMBs that the CBN circular dated July 2, 2019 reference number COD/DIR.GEN/CIR/01/006, which prescribes penalties for the rejection of Naira banknotes, is still enforceable and binding on erring DMBs.

“Going forward, the CBN shall not hesitate to apply strict sanctions on DMBs, who are reported to have rejected deposits of Naira banknotes from the public under any guise.”

Similarly, NaijaOnPoint Nigeria had reported on Tuesday that the CBN had warned banks and bureau de change (BDC) operators against the continued rejection of old series and lower denominations of the United States of American Dollars.