From January 9, 2023, Nigerians can only withdraw N20,000 cash from Automated Teller Machines (ATMs) per day.
If there is a need to make further cash withdrawals from the ATMs, individuals can only access maximum cash of N100,000 a week. It means Nigerians can only withdraw N20,000 a day and not more than N100,000 a week.
This is contained in a circular by the Central Bank of Nigeria (CBN) to all Deposit Money Banks (DMBs) and Other Financial Institutions (OFIs) on Tuesday from Abuja.
It reads: “The maximum cash withdrawal per week via Automated Teller Machine (ATM) shall be N100,000 subject to a maximum of N20,000 cash withdrawal per day; only denominations of N200 and below shall be loaded into the ATMs and the maximum cash withdrawal via point of sale (PoS) terminal shall be N20,000 daily”.
The circular signed by the Director of Banking Supervision of the CBN Haruna B. Mustafa further stated: “The maximum cash withdrawal over the counter (OTC) by individuals and corporate organizations per week shall henceforth be N100,000 and N500,000 respectively.
Withdrawals above these limits, the CBN said, will now attract processing fees of 5 percent and 10 percent respectively.
In addition: “Third-party cheques above N50,000 from next year “will not be eligible for payment over the counter while extant limits of N10,000,000 on clearing cheques still subsist”.
However, if the need does arise for the withdrawal of more cash, the CBN has directed the DMBs and OFIs that “in compelling circumstances, not exceeding once a month, where cash withdrawals above the prescribed limits are required for legitimate purposes, such cash withdrawals shall not exceed N5,000,000.00 and 10,000,000.00 for individuals and corporate organisations, respectively”.
That notwithstanding, such withdrawals will still be subject “to the referenced processing fees of 5 percent and 10 percent as the case may be.
This decision is not unconnected to the CBN’s determination to curb inflation, reduce money supply in the system and make Nigerians embrace alternative channels of banking transactions that promote financial inclusion.
Its Governor Godwin Emefiele gave a hint to this development at the last Monetary Policy Committee (MPC) meeting when he responded to a journalist’s question on withdrawal limits.
