.…..Nullifies CBN’s Naira redesign policy
The Supreme Court on Friday ruled that Nigerians can continue to spend their old N200, N500 and N1,000 notes until 31 December, 2023.
With the ruling, the apex court has invalidated the subsisting President Muhammadu Buhari’s pronouncements and the Central Bank of Nigeria’s (CBN’s) directives on the cash swap policy.
Specifically, the Supreme Court also nullified the government’s naira redesign policy, stating that it as an affront to the 1999 Constitution.
Justice Emmanuel Agim, who read the lead judgment, said that the preliminary objections by the defendants to the suit, namely the Attorney General of the Federation, Bayelsa and Edo States, had been dismissed as the court has the jurisdiction to entertain the suit.
Citing Section 23(2)1 of the Constitution, the court held that the dispute between the federation and states, must involve law or facts.
The apex court further held that President Muhammadu Buhari in his national broadcast on February 16, admitted that the policy is flawed with a lot of challenges.
The court noted that the policy had led to some people engaging in trade by barter in this modern age, in a bid to survive, adding that President Buhari’s disobedience of the 8 February order is a sign of dictatorship.
Also, it faulted President Muhammadu Buhari’s decision to redesign the N200, N500 and N1,000 banknotes without consulting the 36 states of the federation.
In addition, the Supreme Court held that though President Buhari could exercise Executive Powers on behalf of the federation, he ought to have given reasonable notice to the federating units before executing the Naira redesign policy through the Central Bank of Nigeria, CBN.
It maintained that reasonable notice was not given to the states as required under section 20(3) of the CBN Act, before the old Naira notes were withdrawn.
