The Office of the Auditor-General has accused the Central Bank of Nigeria of illegally re-circulating N29.77bn in dirty and unfit banknotes across multiple branches in 2022, rejecting the CBN’s explanations and recommending that top officials be summoned by the National Assembly.
The Office of the Auditor-General of the Federation has indicted the Central Bank of Nigeria for re-circulating N29.77bn worth of “Counted Audited Dirty” banknotes in violation of its Clean Note Policy, accusing CBN branches in Abuja, Lagos, Bauchi and Jos of issuing notes formally certified as unfit for circulation between April and December 2022.
The audit report stated that “Counted Audited Dirty banknotes amounting to N29,765,000,000.00 were re-circulated into the system by the Central Bank of Nigeria,” attributing the breach to weak internal controls and warning of reputational and currency-durability risks. While CBN branches blamed COVID-19 disruptions, military cash demands and seasonal pressure, the Auditor-General dismissed these explanations as “not satisfactory,” insisting the violation stands until corrective measures are taken.
The report also flagged delays in destroying condemned notes valued at N3.57bn, raising risks of pilferage and inefficiency.
It recommended that the CBN Governor be summoned by the National Assembly and sanctioned under Financial Regulations if unable to justify the breaches, adding further scrutiny to Godwin Emefiele’s embattled tenure amid ongoing corruption and abuse-of-office prosecutions.