Reported by: Ijeoma G | Edited by: Oravbiere Osayomore Promise.
The Central Bank of Nigeria has issued a firm warning to individuals, businesses, and financial institutions against rejecting the standard N100 banknote, reaffirming that both the commemorative and standard versions of the currency remain valid legal tender and must be accepted for all transactions nationwide. The apex bank's clarification, contained in a statement issued on Wednesday, 8 July 2026, by the Acting Director of Corporate Communications, Hakama Sidi-Ali, followed reports that some members of the public and commercial entities had refused to accept the standard N100 note over misconceptions about its legal tender status.
The controversy stems from the introduction of the commemorative N100 banknote, which was issued by the Central Bank of Nigeria in 2014 to mark Nigeria's centenary celebration, commemorating 100 years since the country's amalgamation in 1914. The commemorative note was issued alongside, not as a replacement for, the existing standard N100 banknote. However, over a decade later, confusion appears to have persisted, with some traders, transport operators, and business owners erroneously believing that the standard N100 note had been withdrawn from circulation or was no longer valid. This misconception has led to the rejection of the older note in some transactions, a practice the CBN has now moved decisively to stop.
In its statement, the CBN made it unequivocally clear that both versions of the N100 note remain legal tender. "For the avoidance of doubt, the CBN hereby reiterates that both the commemorative N100 banknote and the standard N100 banknote remain legal tender in Nigeria and must be accepted for all transactions nationwide," the bank stated. The apex bank further explained that "the commemorative N100 banknote, which was introduced to mark Nigeria's centenary, did not replace the existing standard N100 banknote." The CBN also directed deposit money banks to continue dispensing N100 banknotes to customers through all approved payment channels, reinforcing that both versions are valid for all financial and commercial transactions across the country.
The warning comes amid recurring misinformation surrounding Nigeria's currency notes. Last year, the CBN debunked a viral circular circulating on social media that falsely claimed the bank had introduced new N5,000 and N10,000 denominations for circulation. The apex bank described that circular as fake and advised members of the public to rely only on information released through its official communication channels. The latest clarification on the N100 note appears to be another effort by the CBN to combat misinformation and protect the integrity of the national currency.
The CBN cautioned that rejecting the standard N100 note constitutes a breach of the provisions of the CBN Act and undermines public confidence in the naira. "The CBN strongly cautions individuals, businesses, financial institutions and other economic agents against rejecting the standard N100 banknote. Such rejection constitutes a violation of the provisions of the CBN Act and undermines confidence in the national currency," the statement read. The apex bank warned that it would not hesitate to apply appropriate enforcement measures against any person or entity found to be in breach of the law. "The Bank will not hesitate to apply appropriate enforcement measures against any person or entity found to be in breach," the statement added.
The CBN's warning is significant, as it signals that the bank is prepared to take disciplinary action against those who flout its directives. While the specific nature of the enforcement measures has not been detailed, the bank's strong language suggests that penalties could include fines or other sanctions. The CBN Act 2007 provides the central bank with the authority to regulate the currency and take action against those who undermine its integrity. By invoking the Act, the CBN has placed the public on notice that the rejection of legal tender will not be tolerated.
The bank urged Nigerians, including traders, transport operators, retailers, and other business owners, to accept the banknote for all legitimate transactions, emphasising that it has not issued any directive withdrawing the standard N100 note from circulation. The CBN also called on financial institutions to educate their customers on the status of the banknote and ensure compliance with existing regulations. The apex bank reiterated its commitment to maintaining public confidence in the naira and ensuring the smooth circulation of legal tender across the country. It also advised members of the public seeking further clarification on the status of any banknote to contact the CBN through its official communication channels.
The CBN's clarification has been welcomed by many Nigerians who had been caught in the confusion surrounding the two versions of the N100 note. Business owners and traders, in particular, have expressed relief at the bank's unequivocal statement, as it provides clarity on a matter that had created uncertainty in commercial transactions. However, some have also called on the CBN to intensify its public enlightenment campaigns to ensure that the message reaches all corners of the country, particularly in rural areas where access to official information may be limited.
The CBN's action underscores the importance of maintaining public confidence in the national currency. When doubts arise about the validity of certain banknotes, it can disrupt economic activity, create friction in transactions, and undermine the efficiency of the payment system. By issuing a clear and firm directive, the CBN has sought to restore confidence and ensure that all banknotes issued by the bank are accepted without discrimination. The bank's warning also serves as a reminder that the rejection of legal tender is not merely a matter of preference but a violation of the law that carries consequences. For now, the message from the CBN is clear: both versions of the N100 note are legal tender, and anyone who refuses to accept them does so at their own risk.
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