CBN Threatens Penalties For Rejection Of N100 Notes

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The Central Bank of Nigeria (CBN) has threatened to sanc­tion individuals and organi­sations rejecting the standard N100 banknote, declaring that both the commemorative and regular versions remain legal tender and must be accepted for all transactions across the country.

The warning follows increas­ing reports that some businesses and members of the public have refused to accept the standard  N100 note due to mistaken be­liefs that it had been replaced by the commemorative edition introduced during Nigeria’s cen­tenary celebration.

In a statement issued by the Acting Director of Corporate Communications, Mrs. Hakama Sidi-Ali, the apex bank dismissed the misconception, insisting that the commemorative N100 note was issued only as a special edi­tion and did not invalidate the existing standard banknote.

The CBN said every N100 note officially issued by the bank remains valid unless expressly withdrawn from circulation through an official directive.

It cautioned that the rejection of the standard N100 banknote amounts to a breach of the CBN Act and poses a threat to public confidence in Nigeria’s monetary system.

“The central bank will not hesitate to apply appropriate en­forcement measures against any person or entity found to be in breach,” the statement said.

According to the apex bank, the smooth circulation of cur­rency depends on the willingness of the public to accept all legally issued banknotes.

It stressed that arbitrary rejec­tion of genuine currency could disrupt commercial transactions and weaken confidence in the fi­nancial system.

The regulator reiterated that preserving trust in the naira re­mains one of its core mandates, adding that all validly issued banknotes should circulate freely throughout the economy.

The clarification comes as authorities continue efforts to strengthen confidence in Nige­ria’s currency and ensure efficient payment systems nationwide.

Analysts believe that miscon­ceptions surrounding legal tender could create avoidable disruptions in retail transactions, particularly among traders and transport op­erators who handle large volumes of cash daily.

The CBN, therefore, appealed to businesses, financial institu­tions, market operators and the general public to accept both the commemorative and standard N100 notes without hesitation.

It also advised anyone requir­ing clarification on the status of any Nigerian banknote to seek information directly from the central bank through its official communication platforms rather than relying on rumours.

The apex bank maintained that protecting the integrity of the naira remains critical to financial stability and warned that it would continue to enforce compliance with the law against anyone found undermining confidence in the nation’s currency.