Cashless Policy Suspended By CBN, Banks To Refund Charges


Central Bank of Nigeria (CBN) has suspended its prior directive on the implementation of cashless policy.



CBN had formerly announced new charges on deposit and withdrawals above a threshold of N500,000.


The apex bank had directed banks to charge 5% and 10% for deposits and withdrawals above N40m in the corporate category.


The bank had fixed 1.5% and 2% for deposits ranging from N500,000 and N1 million in the individual category.Cashhless Policy Photo


In the circular signed by Dipo Fatokun, director, banking and payments system department,


“You will recall that a directive was issued on the nationwide implementation of the cashless policy vide our circulars with reference numbers BPS/DIR/GEN/CIR/04/001 dated February 21 and BPS/DIR/GEN/CIR/04/002 dated March 16,” the circular read.


“Please note that the new withdrawal and deposit processing fee charges above the threshold, as contained in the circulars referenced above, are hereby suspended until further notice. The position of the policy shall now revert to the status quo ante.”


The old charges to be reverted to 3% processing fee for withdrawals above N500,000 in the individual category and 5% for withdrawals above N3 million.


“The new policy already applied effective April 1, 2017, as contained in the circulars in the reference above should be reversed and the old charges be applied. All necessary refunds should be made accordingly.”