A currency redesign program that was intended to fight inflation and reduce cash outside the banking system is shrouded in confusion and uncertainty.

Nigerians are caught up in the politics that have resulted from the naira redesign after the Supreme Court’s decision last week paralyzed the nation. People and businesses are unsure of whether to accept or reject the old notes.

The Federal Government cannot ban the use of the old naira notes on February 10, 2023, either directly or through the Central Bank of Nigeria (CBN), commercial banks, or anyone else, according to a temporary order issued by the Supreme Court and postponed until February 15. (today).

Nigerians have differing opinions on the ruling; some feel that because the Supreme Court lacks jurisdiction over the case, the CBN is not required to abide by the court’s decision, while others think that the central bank should.

The CBN’s governor, Godwin Emefiele, insisted on Tuesday that the high-value naira’s phase-out deadline of February 10, 2023, was inviolable.

Despite banks sending out notices about the deadline for the old banknotes’ expiration on February 10, many Nigerians and businesses continued to accept the old notes after the Supreme Court’s decision because there were so few of the new ones available.

On Tuesday, banks only assisted clients who visited their Apapa, Surulere, and other locations to resolve problems brought on by failed transactions or to complete transfers. There were many automated teller machines that did not dispense cash.

Some Nigerians attempted to deposit their old naira notes at various banks, but the institutions would not accept them.

An employee of a point of sale who went by the name Chibuzor said, “I am stuck with old notes of N187,000 as my bank is not accepting it as a deposit.

“We didn’t understand the directive’s deadline requirements. The Supreme Court overruled the Central Bank of Nigeria’s (CBN) assertion that it is February 10 by ruling that both old and new notes should coexist until such time as otherwise.

He claims that because the CBN withheld further explanation, Nigerians interpreted it as approval of the court’s decision.

Theresa Ugwu, a trader in Agboju, Lago, claimed she attempted to deposit N40,000 in old notes at the bank on Tuesday morning but was unsuccessful.

“The bank staff informed me that as of last Friday, they had stopped collecting old notes. I was instructed to return home and carry on my trading with other traders using the previous notes, she said. I’ve also given up on saving old bills because I need them for my company’s funding.

Many of the traders who were still collecting the old notes on Monday have started refusing them in Lagos’ largest food market, Mile 12 Market.

Since banks are no longer collecting old notes, I stopped collecting them this morning. Bolu Ajayi, a hairdresser in Ketu Market, stated, “I do not intend to go to CBN’s office to deposit any old notes.

Emefiele had promised the public on January 31, 2023 that no one would lose money because banks would still accept old naira notes after the deadline.

A banking and asset management expert named Kalu Aja tweeted in response to the Supreme Court’s decision, “The Supreme Court should not get involved in monetary policy. Make no preferences. The CBN may be sued by a different Supreme Court to prevent interest rate increases (MPR). The parties suing must demonstrate which laws CBN violated when it redesigned the Naira and set a terminal date. Ironically, no one has filed a lawsuit against the CBN for blatantly violating the CBN Act, which stipulates that only 5% of previous year’s revenues may be printed as Ways & Means to the Federal Government. That was unconstitutional spending that had not been authorized.

According to Tope Fasua, CEO of Global Analytics Consulting Limited, “Given the untold suffering of our most vulnerable people, I think the Supreme Court is on point. To change the currency, which I support, is one thing. However, it is quite another thing to refuse to give people their hard-earned money in the name of a draconian policy. The execution of this project has damaged the reputation of currency management and given those who oppose all positive change the opportunity to boast. Nigeria is capable of doing just about anything, in my opinion. Therefore, despite the fact that some Nigerians are using this for political purposes, I hope the CBN complies with the Supreme Court’s order or faces public backlash.

According to Tope Fasua, CEO of Global Analytics Consulting Limited, “Given the untold suffering of our most vulnerable people, I think the Supreme Court is on point. To change the currency, which I support, is one thing. However, it is quite another thing to refuse to give people their hard-earned money in the name of a draconian policy. The execution of this project has damaged the reputation of currency management and given those who oppose all positive change the opportunity to boast. Nigeria is capable of doing just about anything, in my opinion. Therefore, despite the fact that some Nigerians are using this for political purposes, I hope the CBN complies with the Supreme Court’s order or faces public backlash.

The Supreme Court is the highest court in the land, and the federal government owns CBN, he declared. I don’t see anything wrong with them disagreeing, but the fact is they take their disputes to the Supreme Court because that is where they go to resolve disputes between the state and the federal government. I believe they should follow the Supreme Court’s directive to maintain the status quo until they hear the case tomorrow (today). The CBN is owned by the Nigerian people and the federal government, so the Supreme Court has the right because it is not an impersonal institution.

The CBN is independent but not above the law, according to Ekpo.

“There is the CBN’s independence, but that doesn’t mean you can’t go to court if you have a dispute with them; they have institutional autonomy, but it’s not complete. They work for the government; without Nigerians, there would be no central bank. They must therefore comply with both the law and the government’s constitution. They serve as a government agency and serve as the government’s bankers. They are not entirely independent, he continued.