The Supreme Court on Wednesday restrained the Federal Government from implementing the Friday deadline for the currency swap. A seven‑man panel of the apex court, led by Justice John Okoro, issued a unanimous interim injunction that bars the Federal Government, the Central Bank of Nigeria (CBN) and commercial banks from enforcing the February 10 deadline for the old naira notes. The injunction was granted in response to an application filed by the governors of Kaduna, Kogi and Zamfara States. Justice Okoro ordered that “the Federal Government, through the CBN or commercial banks, must not suspend, determine or end on February 10, 2023, the time frame with which the older 200, 500 and 1,000‑naira denominations may no longer be legal tender, pending the hearing and determination of the motion for an interlocutory injunction.” The court further held that the deadline must remain suspended pending a hearing on February 15.
On the same day, the International Monetary Fund (IMF) and the World Bank urged the CBN to extend the time limit, echoing the Supreme Court’s stance. The IMF’s resident representative in Nigeria, Ari Aisen, warned that the short timeframe was causing hardships in trade and payments and recommended extending the deadline if problems persisted in the days leading up to February 10. In a separate statement after an IMF staff visit, the organization called for decisive fiscal and monetary tightening, structural reforms, and the removal of the fuel subsidy by June. It also urged the Nigerian government to strengthen the CBN’s independence, fully sterilise central‑bank financing of fiscal deficits, and move toward a unified market‑clearing exchange rate.
The World Bank expressed similar concerns. In an email to a correspondent, a senior external affairs officer noted that while periodic currency redesigns and demonetisation are normal internationally, they usually involve transition periods of a year or more to minimise disruption. The Bank warned that the rapid demonetisation could impose significant short‑term costs on small businesses and vulnerable households, which rely heavily on cash. With only 45 % of Nigerian adults holding bank accounts and low digital‑payment penetration, the Bank doubted that digital payments could quickly offset the shortage of new notes. It urged the authorities to consider a longer transition period.
Meanwhile, President Muhammadu Buhari met with CBN Governor Godwin Emefiele at the State House, Abuja, shortly after the Supreme Court’s ruling. The meeting followed a Federal Executive Council session and came as 36 state governors, through the Nigeria Governors’ Forum (NGF), wrote to Buhari on February 6 requesting an extension of the deadline and a review of the CBN’s cashless policy, which caps weekly withdrawals at N500,000 for individuals and N5 million for corporations.
The Attorney‑General of the Federation, Abubakar Malami, asked the Supreme Court to dismiss the suit filed by the three northern states, arguing that the Court lacks jurisdiction and that the plaintiffs have not shown a reasonable cause of action. The states had originally sued on February 3, seeking to compel the President, the CBN and commercial banks to rescind the February 10 deadline for the old N200, N500 and N1,000 notes.
In the political arena, APC presidential candidate Bola Tinubu praised the Supreme Court decision and the governors’ challenge to the CBN policy, while a coalition of civil‑society groups protested the ruling, claiming it threatened credible elections. The Coalition of Northern Groups, however, commended the decision and urged the Federal Government and the CBN to respect it.
Despite the temporary reprieve, Nigerians continued to struggle to obtain cash. In Abuja, crowds besieged ATMs at hotels and shopping centres, causing long queues and security interventions. In Ogun State, banks remained closed over security fears. In Ondo State, the National Association of Nigeria Students staged a peaceful protest in Akure over cash scarcity, following a blockade of the Benin‑Shagamu Expressway in Ore. Similar congestion occurred on the Akure‑Ilesa Expressway, involving civil‑society groups. In Makurdi, Benue State, commercial banks opened but faced long lines inside and outside their premises.
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