By Yahaya Umar
Despite the threat by the Central Bank of Nigeria ,CBN, to penalise commercial banks that fail to provide cash to customers at their Automated Teller Machines ,ATMs, and branches, the issue has persisted.
The Governor of the apex bank, Mr Yemi Cardoso, during his speech at the annual Chartered Institute of Bankers of Nigeria ,CIBN, dinner in Lagos last Friday, said “We are conducting spot checks across Deposit Money Banks ,DMBs, and will impose penalties on institutions effective December 1, 2024″.
Mr Cardoso urged customers to report difficulties withdrawing cash from bank branches, and ATMs directly to the CBN through designated channels, adding the guidelines would be distributed widely to raise public awareness.
“We also urge full regulatory compliance by all stakeholders, including mobile money operators and agents to promote digital transaction channels and improve service delivery”, Mr Cardoso said.
“Financial institutions found engaging in malpractices or deliberate sabotage will face stringent penalties”, he added.
Mr Cardoso also noted that the central lender will continue to foster a more cashless policy, adding that this will not restrict it from adequately supplying cash into the country.
“The CBN will continue to maintain a robust cash buffer to meet the country’s needs, particularly during high-demand periods such as the festive season and year-end. Our focus is ensuring a seamless cash flow for Nigerians while fostering trust and stability in the financial system”.
Banking customers have been faced with a cash deficiency that can be traced back to the twin policies of Naira redesign and cashless policy instituted under the Muhammadu Buhari administration in 2023.
The policies while leading to the wider adaptation of digital channels and a surge in Point-of-Sales ,PoS, channel utilisation, led to banks not adequately servicing their ATMS.
Recently, the CBN commenced a mystery shopping exercise and periodic spot checks to Deposit Money Banks ,DMBs, in its latest crusade to tackle the hawking of Naira notes.
In a memo signed by Mr Solaja Olayemi, Acting Director, Currency Operations Department of the CBN, banks to whom cash seized from hawkers of cash is traced, will be penalised 10% of the total value of cash withdrawn on the day the seized cash was withdrawn from the CBN.
On Monday morning yesterday, this newspaper confirmed that one of the big five lenders in the country with a branch on the Egbeda/Idimu Road in Alimosho Local Government area of Lagos State was paying customers rationing a maximum of N10,000 cash to customers over-the-counter ,OTC.
When asked the reason for this, one of the teller point attendant said it was because of shortage of cash allocation to the branches.
