A new regulation published by the Central Bank of Nigeria (CBN) requires deposit money banks and other financial institutions to make sure that over-the-counter cash withdrawals by individuals and corporate entities do not exceed N100,000 and N500,00, respectively, per week.
In a recent memo to banks that was sent out on Tuesday and was signed by the director of banking supervision, Haruna B. Mustafa, individuals will only be able to withdraw N100,000 per week (from ATMs, Point of Sale Machines, or Over the Counter Machines), while organizations will have access to N500,000 per week.
Additionally, banks have been told to only load N200 and lesser denominations into their ATMs.
According to the memo: “Further to the President, Major General Muhammadu Buhari (retd. ), launching the redesigned naira notes on Wednesday, November 23, 2022, and in accordance with the CBN’s cashless policy, all deposit money banks and other financial institutions are hereby directed to note and comply with the following:
“1. As of today, each person and corporate entity may withdraw a maximum of N100,000 and N500,000 in cash every week over the counter, respectively. Processing fees of 5% and 10% will apply to withdrawals that exceed these thresholds.
“2. Third-party cheques over N50,000 are not acceptable for over-the-counter payment while the current clearing cheque limitations of N10,000,000,000 are in effect.
“3. The maximum cash withdrawal by automated teller machine per week shall not exceed N100,000, subject to a daily maximum of N20,000.
“4. Only N200 and lower denominations may be loaded into the ATMs.
“5. A daily maximum of N20,000 may be withdrawn in cash from a point of sale terminal.
“6. In extreme cases, not more than once per month, when cash withdrawals above the permitted limits are necessary for lawful purposes, such withdrawals shall not exceed N5,000,000.00 and N10,000,000.00 for individuals and corporate organizations, respectively, and shall be subject to the processing fees mentioned in (1) above, as well as increased due diligence and additional information requirements.
“Further to (6) above, you are expected to collect at least the following data and upload it to the CBN portal established for that purpose:
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