Reps Urge CBN to Suspend Charges on Deposits, Withdrawals

By Dipo Olowookere

The Central Bank of Nigeria (CBN) has been informed to suspend the newly introduced charges on cash deposits and withdrawals of funds by inviduals and corporate organisations in the country.

The implementation of the cashless policy took effect on Wednesday, September 18, 2019 in some states in the country, including Lagos, Ogun, Rivers, Abia, Abuja amongst others.

According to a circular issued by the apex bank on Tuesday, individual customers intending to deposit cash in banks would pay 2 percent for logdments above N500,000 and three percent for withdrawals more than the same amount.

For corporate customers making cash deposits, they are required to pay a three percent processing fee for money above N3 million and five percent for withdrawals above the same amount.

Reacting to the issue on Thursday, Speaker of the House of Representatives, Mr Femi Gbajabiamila, through his official Facebook page, disclosed that the apex bank has been asked to put a hold on the policy for now.

“The House of Representatives, Federal Republic of Nigeria has urged the Central Bank of Nigeria to suspend its recent directive to banks on cashless policy, which seeks to have individuals and corporate organisations charged for deposits and withdrawals respectively,” his post stated.

This is not the first time the central bank would be coming with such policy and charges and like in the past, it has been met with harsh


The latest directive of the CBN to banks to begin implementation of this policy came days after the Federal Executive Council (FEC) approved the

raising of Value Added Tax (VAT) from 5 percent to 7.5 percent beginning from 2020 and subject to the approval of the National Assembly.
The present government of President Muhammadu Buhari has complained of low revenue, stressing on the need to jerk up its earnings so as to meet the needs of the citizens, who want to begin to feel the dividends of democracy.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via

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