The Central Bank of Nigeria (CBN) recently announced amendments to the cash withdrawal scheme that will come into effect from January 9, 2023, just a day after the newly designed Naira notes were introduced in the country. WHEREAS the financial banks have pointed out here that the latest instructions as per the open letter dated December 6 are in line with CBN’s gas policy where weekly cash withdrawals by individuals and organizations are capped at $222 (N100,000) and $1,111 (N500,000) respectively 5 per cent for any cash withdrawal by individuals and corporates in excess of this limit and 450 local currency units will be available for each road to be will attract a fee of 10 per cent and cash withdrawals through ATMs are said to be limited to “subject to a maximum of N20,000 [less than $44] cash withdrawals per day” equivalent to $222 per week and points This withdrawal through off sale may be limited to $44 per day where It shall also allow withdrawals in excess of the limit where in exigencies, not more than 1 time in a month, for this very purpose, a proper management is required to fix the limit and withdraw such Withdrawals shall not exceed N5,000,000 [$11,111] and N10,000,000 [$22,222] for individuals and corporate organizations respectively and the bank said it would be subject to withdrawal processing fees as well as labor and forward requirements and prescribed limits Monthly returns will be given to the Department of Banking Supervision of CBN for withdrawals in excess of 1000 and after the plan to replace old notes with newly designed naira notes we can say that Nigerians have been urged to adopt cashless payment method and obeyed. The announcement is expected to trigger a sharp devaluation in Noida and calls for action on allegedly illegal currency dealers and help the naira regain some lost ground against the US dollar.
The CBN letter mentions that the policy also needs to assist in deceiving and banning persons who pass false information to the public, and with the caveat that they must The circulation of new notes will create a good environment around people and help in transactions.
