The Central Bank of Nigeria (CBN) has officially prohibited the use of US Dollars for domestic transactions within the country.
The announcement, conveyed through a press release signed by Ibrahim Mu’azu, Director of Corporate Communications, underscores concerns about the increasing prevalence of foreign currency usage for local goods and services.
In the release, the CBN reiterates the legal status of the Naira as the exclusive legal tender in the country, citing the provisions of the CBN Act of 2007.
According to the Act, currency notes issued by the bank are the sole accepted means of payment within Nigeria.
Violating this provision is considered an offense, punishable by a prescribed fine or six months imprisonment upon conviction.
The prohibition, effective immediately, excludes foreigners, visitors, and tourists who are encouraged to utilize cards for payments or exchange their foreign currency for the local currency at authorized dealers’ locations.
To ensure adherence to this directive, the general public is urged to report any violations of the Act to both the Economic and Financial Crimes Commission (EFCC) and the Central Bank of Nigeria (CBN) for appropriate action.
This move signals the CBN’s firm commitment to safeguarding the integrity of the Naira in domestic transactions.