BREAKING NEWS: CBN announces New Cash Withdrawal Policies

The Central Bank of Nigeria has stated financial institutions and commercial banks that limit ATM withdrawals daily to N20,000 and restrict over-the-counter withdrawals for corporate and private individuals to N100,000 or N500,000, respectively.

In the announcement made on December 6 on Tuesday, The revised policy is expected to take effect on January 9, 2023.

Check out the complete statement below

NAIRA REDESIGN POLICY – REVISED CASH WITHDRAWAL LIMITS

In conjunction with the announcement of the newly designed Naira Notes by the president of Nigeria, the Federal Republic of Nigeria, on November 23, 2022, and following the policy of cash-less by the CBN, All deposits money banks (DMBs), as well as different financial institutions (0FIs), are directed to be aware of and adhere to the following requirements:

1. The maximum amount of cash that can be withdrawn on the internet (OTC) for individuals and corporate organizations per week will, in the future, be N100.000 and N500,000, respectively.

Any withdrawals exceeding these limits will be subject to processing charges of 5% and 10%, respectively.

2 Third-party cheques that exceed N50,000 will not be accepted for cash-on-the-counter payments The current limit of 110,000.000 on clearing cheques remain in place.

3. The maximum cash withdrawal for the week through an Automated Teller Machine (ATM) will be N100.000 up to the maximum amount of N20,000 per cash withdrawal per day.

4 Only amounts of N200 and less should be loaded into ATMs.

5 The maximum amount of cash that can be withdrawn through the point-of-sale (PoS) terminal will be N20,000 daily.

6. In exceptional circumstances, but not more than once per month, when cash withdrawals over the limits set by law are required to fulfill legitimate reasons, cash withdrawals should be at most 15,000,000.00 and 110,000.000.00 for corporate and individual organizations. The latter is subject to the processing charges in (1) above, increased due diligence, and additional requirements for information.

a. An acceptable means of identification of the person paying (National ID, International Passport, Driver’s Licence).

b. b. Verification Numéro (BVN) for the payer.

C. Notarized customer confirmation of the reason for withdrawing cash.

d. Approval of senior management for withdrawals by the director of the draw If applicable.

e. Written approval from the chief executive officer of the bark approving the removal.

Also, please note the following information: I. Monthly reports for cash withdrawals exceeding the limits specified should be submitted in writing to the Banking Supervision Department. Compliance with current AML/CFT regulations regarding KYC and continuous customer due diligence, report on suspicious transactions, and reporting. It is required under all circumstances. Customers are advised to use other methods (internet banking applications, mobile banking, and USSD cards/POS. eNaira, etc.) for banking transactions.

Please note that any aiding or abetting violation of this policy could result in severe penalties.

The directives above will be in effect nationwide starting January 9, 2023.

Please be aware of this.

Haruna B. Mustafa

Director Of Banking Supervision

Remember that before the most recent change, the CBN had previously described the Naira revision as a timely step to stop illegal money-related activities in the country.