Legit has determined that Nigerian banks are indeed rationing cash in over-the-counter withdrawals and ATMs......Read The Full Article>>.....Read The Full Article>>
The development comes amid worsening cash scarcity nationwide, leading to Point-of-Sale (PoS) operators hiking their charges by as much as 100%.
Banks impose N10,000 cash withdrawal limit
Visits to some banks in the Lagos metropolis show that the banks have imposed an over-the-counter withdrawal limit of N10,000 per transaction and ATM cash withdrawal of N5,000.
When asked the reason for the new limit, a Zenith Bank staff member in Marina, Lagos, said there was no cash and that they were awaiting supply from the Central Bank of Nigeria (CBN).
“We’re currently out of cash. So, we are rationing N10,000 per customer across the counter and N5,000 on ATMs,” she said.
Another bank staff member at First Bank in the Opebi area of Lagos echoed the same sentiment, stating their bank’s vault was virtually empty as they were yet to receive cash from the CBN.
“Customers are not depositing cash for us to dispense to customers. So, you can only get N10,000 per transaction irrespective of your withdrawal requests,” he said anonymously.
PoS operators hike charges by 100%
Meanwhile, PoS operators have seized the opportunity to hike their charges by as much as 100%, citing the cash scarcity and the recently imposed EMTL charges as reasons.
The operators disclosed that they found it challenging to access cash for transactions from banks and ATMs, as they buy primarily from market traders and filling station attendants.
Adedamola Adeleke, a PoS operator in the Iju-Ishaga area of Lagos, said cash scarcity added more pressure after fintech platforms began charging EMTL on customers’ accounts.
“Most operators are stranded because of lack of cash. The few with cash have no choice but to increase their charges as it is difficult getting cash from the banks,” he said.
Banks ignore CBN’s directive on cash availability
Adeleke also claimed that the operators have no choice but to hike charges as the cash scarcity has compounded their woes.
Recently, the CBN released phone numbers for Nigerians to report banks without cash in their ATMs, a move aimed at curbing cash scarcity.
However, two weeks after the apex bank’s action, many bank ATMs remained dry and withdrawal limits were imposed instead.
PoS operators begin new charges
Legit earlier reported that PoS operators hiked their charges from December 2, 2024, due to the Electronic Transfer levy.
The Nigerian government had ordered new charges against the fintech firms through the Federal Inland Revenue Service (FIRS).
The policy was scheduled to begin on September 9, 2024, but it was delayed by three months following outrage among Nigerians.
