APA – Lagos (Nigeria)
The Supreme Court of Nigeria has ordered that the old naira banknotes should continue to be used side by side with the new naira notes till December 31, 2023.
Delivering judgment on Friday in the case brought before the apex court by 16 state governments against the order of the Central Bank of Nigeria declaring the old banknotes of N200, N500 and N1000 has ceased to be legal tenders after the period allowed by it, the Supreme Court invalidated the new naira design policy initiated by the Federal Government on the grounds that it was not done with due consultation and in line with constitutional provisions.
The court held that the three-month timeline was also not in tune with the Central Bank of Nigeria’s Act and as such unconstitutional.
Besides, the apex court argued that the President Muhammadu Buhari usurped the powers of the CBN when he issued the directive banning the old naira notes of N1,000, N500 and N200 notes from February 10, 2023.
The apex court also nullified the Federal Government’s naira redesign policy, declaring it as an affront to the 1999 Constitution.
Justice Emmanuel Agim, who read the lead judgment, held that the preliminary objections by the defendants (the Attorney General of the Federation, Bayelsa and Edo states) are 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 Federal Government and states must involve law or facts.
The apex court further held that President Muhammadu Buhari in his broadcast admitted that the policy is flawed with a lot of challenges.
The court stated that the policy has led to some people engaging in trade by barter in this modern age in a bid to survive. The court added that the President’s disobedience of the February 8 order, is a sign of dictatorship.
The Supreme Court held that President Buhari breached the Constitution of the Federation in the ways he issued directives for the re-designing of the Naira by the CBN.
Justice Agim further held that President Buhari failed to consult the National Council of States, Federal Executive Council (FEC) and the National Economic Council (NEC) before directing the CBN to unlawfully introduce new Naira notes.
He held that the unconstitutional use of powers by the President on Naira Re-designing has breached the fundamental rights of the Nigerian citizens in various ways.
The apex court said such use of powers by President Buhari is not permitted under democracy and in a society like Nigeria.
In the unanimous judgement, the court held that the unlawful use of executive powers by the President, inflicted unprecedented economic hardship on the citizens by denying them ownership of and access to their money.
GIK/APA