Sanwo-Olu declares old N1000, N500 notes as legal tender in Lagos

Lagos State Governor Babajide Sanwo-Olu has declared that the old N500 and N1,000 notes remain legal tender in Lagos State.

The governor’s statement came in response to the hardship caused by the Naira redesign policy, which has negatively impacted business and commercial activities in the state.

In a press release issued by the Commissioner for Information and Strategy, Lagos State, Gbenga Omotoso, the governor called on business owners, particularly retailers, to accept the old notes. This move is in line with the Supreme Court’s judgement that the currency remains legal tender until December 31, 2023, and it is illegal to reject the notes.

The Supreme Court maintained that the policy had impeded the functions of state governments, noting that the directive that stops the use of the old notes is illegal, unconstitutional, null, and void. The apex court declared that “no reasonable notice was given as required by Section 20(3) of the CBN Act,” and that the public only became aware of the policy through press remarks, which cannot qualify as a notice to the public.

The Lagos State government’s decision is expected to provide relief to traders and other individuals who have been struggling to carry out their businesses due to the difficulty of accessing new currency notes.