Six months imprisonment awaits users of foreign currencies for local transactions —CBN

Posted by News Express | 8 April 2015 | 3,384 times

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The Central Bank of Nigeria (CBN) Tuesday reacted angrily to the increasing use of foreign currencies in the domestic economy as a medium of payment for goods and services by individuals and corporate bodies, saying the act would attract six months imprisonment.

The Director, Corporate Communications of CBN, Ibrahim Mu’azu said yesterday evening that the apex bank had observed that some institutions price their goods and services in foreign currencies and also demand payments in foreign currencies rather than the domestic currency (the Naira), which is the legal tender in Nigeria,

According to Mu’azu in a statement made available to News Express by e-mail, “For the avoidance of doubt, the attention of the general public is hereby drawn to the provisions of the CBN Act of 2007, which states inter-alia that ‘the currency notes issued by the Bank shall be legal tender in Nigeria…for the payment of any amount’.

“Furthermore, the Act stipulates that any person(s) who contravenes this provision is guilty of an offence and shall be liable on conviction to a prescribed fine or six months imprisonment.

“This prohibition, however, is without prejudice to foreigners, visitors and tourists who are encouraged to continue to use their cards for payments or exchange their foreign currency for local currency at any of the authorised dealers’ outpost.

“The general public is hereby advised to report any contravention of the provision of this Act to the Economic and Financial Crimes Commission (EFCC) and the Central Bank of Nigeria (CBN) for appropriate action.”

•Photo shows CBN Governor Godwin Emefiele.


Source: News Express

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