By Kadiri Abdulrahman, Abuja.
The Central Bank of Nigeria (CBN) has announced an upward review of cash withdrawal limits to N500, 000 and N5 million for individuals and corporate accounts respectively.
The apex bank also reviewed downward, the stipulated percentage cost for withdrawals above the stipulated limits.
A statement by Haruna Mustapha, CBN’s Director, Banking Supervision, made this known in Abuja on Wednesday.
Mustapha, however, said that in compelling circumstances where cash withdrawals above the specified limits were required, they shall be subject to a processing fee of three per cent and five per cent for individuals and corporate organisations respectively.
Recall that the CBN, in a statement on Dec. 6, declared that with effect from Jan 9, 2023, the amounts that individuals and corporate organisations could withdraw per week would not exceed N100,000 and N500,000 respectively.
The decision had, however, elicited widespread criticisms from stakeholders, including members of the National Assembly, who urged the CBN Governor, Godwin Emefiele, to increase the withdrawal limits.
The House of Representatives had also invited Emefiele to make further clarifications on the policy to its members.
Mustapha said that in spite of the new review, customers should still be encouraged to use alternative channels like Internet banking, mobile banking apps, USSD, POS and e-Naira to conduct banking transactions.
He added that bank and mobile agents were important participants in the financial system, enabling access to financial services in underserved and rural communities.
“They will continue to perform strategic functions, in line with existing regulations governing their activities.
“The CBN recognises the vital role that cash plays in supporting underserved and rural communities, and will ensure an inclusive approach as it implements the transition to a more cashless society,” he said.
Mustapha warned all banks and Other Financial Institutions (OFIs) that aiding and abetting the circumvention of the new policy would attract severe sanctions.
“The above directives supersede that of Dec. 6 and take effect nationwide from Jan. 9, 2023,” he said.