Indications are rife that the Central Bank of Nigeria may have concluded arrangement to re-introduce cash handling fees for both deposits and withdrawals as its board of governors approve the full implementation of the cashless policy nationwide.

The CBN Deputy Governor, Operations, Adebayo Adelabu, gave the hint while addressing the annual dinner of the Nigerian Electronic Fraud Forum ( NeFF) in Lagos over the weekend.

Adelabu said: “The committee of governors has approved the implementation of the full cashless policy yesterday and the CBN will release a circular which will detail out the process of re-adoption of the policy by next week (this week).”

It would be recalled that the apex bank had on April 22, 2017, suspended indefinitely, the nationwide implementation of the policy following massive outcry that greeted the reviewed cash handling fees.

In a circular signed by Dipo Fatokun, Director, Banking and Payments System Department of CBN, the bank instructed banks to revert to old charges and refund customers who had been debited.

CBN had earlier announced new charges on deposits and withdrawals above a threshold of N500,000 for individuals and N3 million for corporate bodies.

The apex bank had directed banks to charge 1.5 percent and 2 percent for deposits and withdrawals ranging from N500,000 and N1 million in the individual category; 2 percent and 3 percent for amount above N1 million to N5 million; and 3 percent and 7.5 percent for amount above N5 million.

For corporate organisations, CBN fixed 2 percent and 5 percent for deposits and withdrawals between N3 million and N10 million respectively; 3 percent and 7.5 percent for above N10 million to N40 million; and 5 percent and 10 percent for amount above N40 million.

But the new circular said the existing policy before the announcement of the new policy shall remain in place in Lagos, Ogun, Kano, Abia, Anambra, Rivers and Abuja.

The circular further stated that the old charges to be reverted to are: 3 percent processing fee for withdrawals above N500,000 in the individual category and 5 percent for withdrawals above N3 million for corporate category, while no fees are charged for lodgments.

Cashless policy is a policy established in 2012 by the CBN to curb excesses in the handling of cash in Nigeria. It prescribed cash handling charges on daily withdrawals above N500,000 for individuals and N3,000,000 for corporate bodies. The policy was enforced not to eliminate the use of cash but to reduce the volume of cash in circulation.

The pilot run of the policy started on January 1, 2012 in Lagos State. The service charges were withheld till 30 March of the same year to allow for seamless migration from the manual to electronic devices.

The second stage of the pilot run started in Rivers, Anambra, Abia, Kano, Ogun and the Federal Capital Territory on July 1, 2013 while the programme nationwide started exactly a year after; on 31 July 2014.

Reacting to the announcement, Dr. Uju Ogubunka, President, Bank Customers Association of Nigeria (BCAN) said: “The truth of the matter is that, there were reasons why the full implementation was suspended. The question therefore is, whether those reasons have been resolved.

“We all appreciate that we do not need to be carrying cash up and down, with its attendant cost of recycling.

“We also need to know if the policy will come under a new guideline or merely bringing back what they suspended before, we can then make informed decisions.”

Barrister Ken Ukaoha, President, National Association of Nigerian Traders (NANTS) commended the CBN for its laudable intervention in the economy but expressed worry that placing charges on deposits may encourage businesses keeping money outside the bank.

Ukaoha said: “The CBN needs to do more on the domestic end. They need to reflect the views of the domestic trading environment.”

Christine Lagarde, managing director of the International Monetary Fund (IMF), said Nigeria could save as much as $9 billion (N3.24 trillion) by shifting government payments from cash to digital systems.

Speaking in Ethiopia recently, Lagarde said 1.7 percent of the country’s gross domestic product (GDP) could be saved via the digitisation of the country’s payment systems.

She said “the potential to help reduce corruption, increase revenues, and generate investments in health and education means digital tools could be a decisive factor in meeting the 2030 Sustainable Development Goals.”

https://www.dailytrust.com.ng/cbn-brings-back-cash-handling-fees-for-bank-customers.html

CBN really don't want us to enjoy this Xmas!!

it seems I'll be putting my money under the pillow this Christmas.

Na their way

Good. Everybody should learn to go cashless

Fine Am digging a hole in my room I don't see what a bank has that I don't.

who get that which kind wahala be dis meme. Cbn is obviously broke as they have not been replacing bad notes. To see clean 200 and 100 don scarce.

Tmelisfon:
Na their way

Na so oh.
Any way to steal our money by barawo bubu and the 40 thieves cabal of the All Poverty Congress, APC.
Hardship galore.


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.

I wonder which country these peps reside.

A good policy

I don't even have the kind of money they're talking about now but come 2018 I will. So a hole will be my safe.

Another avenue to steal our hard earned money

Back and forth movement

Nigerian government and agencies no dey ever get sense. There is a huge technology gap ...peeps btw 50-90 yrs are not tech sarvy,some cant even operate d atm and u want them to have mobile apps, ussd services and pos..?? Cashless will be fully establishd with time.. A government that wants to generate revenue out of d weakness of her citizens.

I laugh at people that has still decided to leave their money in banks...

Cryptocurrency is the way forward.. Join now or cry later, a word is enough for the wise..

DoyenExchange:
CBN really don't want us to enjoy this Xmas!!

Who are you to enjoy Christmas?
What have you done to merit an enjoyable Christmas?
Have you made yourself relevant to the politicians so they are accountable to you instead of the godfathers who invested in their campaigns and mobilised voters for their electoral victory?
How do you then expect to enjoy Christmas?


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DoyenExchange:
CBN really don't want us to enjoy this Xmas!!

Why would you want to withdraw such cash ?

Get a pos or use bank transfer

This is a tax that apply only to the rich and I'm happy about it

We warned you guys not to vote APC as people who formed it are not known with previous good work, you said No.

Jonathan may not be the best but he knows where shoes are paining you because he was poor unlike the elites who were born with silver spoons who can't understand why someone will claim he has no food to eat.
Now you can't withdraw more than 10k in some ATMs, so that they can remove N65k for all others

Like I predicted, we are just starting...

Prestige16:
Another avenue to steal our hard earned money

As barawo bubu and his 40 thieves cabal presidency of the All Poverty Congress, APC have been doing since May 2015.


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Why is no one asking why we are in recession despite budgets as follows:

2015 - N4.5 trillion
2015 - N2.1 trillion supplementary requested / N575 billion approved
2016 - N6.06 trillion
2017 - N7.3 trillion


Sources: http://www.reuters.com/article/nigeria-budget-idUSL5N0YB49M20150520
http://dailypost.ng/2015/11/18/buhari-seeks-n2-1trn-supplementary-budget-for-2015/
http://www.vanguardngr.com/2015/12/senate-approves-n575bn-supplementary-budget-for-buhari/
http://www.vanguardngr.com/2016/05/buhari-signs-n6-06trn-2016-budget-change/

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this ppl didn't ask the sociology where the majority of nigerian live..it is in the rural areas..so if rural areas are populated by somewhat old illiterate persons..how then can they introduce such policies without scaring the he'll outta the rural dwellers to abandon banking altogether...what they should have done is to intro duce it,gradually for all urban dwellers.and naming each urban settlement so that the 100% cashless banking can take hold there and become a way of life, b4 it gradually spreads to d villages....untill they go to villages..that when they would know the difference btw 55naira charged for a goods and 57.5 naira...they are never the same thing for rural dwellers

What's wrong with these people?

Useless Buharis government only interested in stealing from Igbos.
why add two Igbo States but one state in the North?

mrvitalis:


Why would you want to withdraw such cash ?

Get a pos or use bank transfer

This is a tax that apply only to the rich and I'm happy about it

that apllies only to d rich?? U don even label urself as being poor... Lol

i leave this post for gods to judge...

So Nigerian government dey pay house rent again to live inside state house built by hard earned deducted tax from my civil servant paleh?

Na which kine tin pesin no go hear for this country Sef?

manutdadex:
Nigerian government and agencies no dey ever get sense. There is a huge technology gap ...peeps btw 50-90 yrs are not tech sarvy,some cant even operate d atm and u want them to have mobile apps, ussd services and pos..?? Cashless will be fully establishd with time.. A government that wants to generate revenue out of d weakness of her citizens.

...that has been the problem with buhari's govt..i continue to say this...in buhari's economics,nigeria is a nation without anybody in it..he tends to follow economics theories so much without checking on real life consequences ; that was how he caused the recession we experienced and started to deceive ppl that it is shortage of forex..in which world does forex shortage cause recession,even in toga with low local productivity is nit in recession...this govt is too forward with it economics policies abeg..i too sabi is killing them

anonimi:


As barawo bubu and his 40 thieves cabal presidency of the All Poverty Congress, APC have been doing since May 2015.


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Re: CBN Brings Back Cash Handling Fees For Bank Customers by urbighead: 8:09am
So Nigerian government dey pay house rent again to live inside state house built by hard earned deducted tax from my civil servant paleh?

Na which kine tin pesin no go hear for this country Sef?