In order to promote its cashless policy, the Central Bank of Nigeria has imposed a limit on cash withdrawals in the country.
The CBN has set a weekly limit of N100,000 for individuals and N500,000 for corporations for over-the-counter cash withdrawals.
The apex bank revealed this in a circular addressed to banks and other financial institutions on December 6, 2022, and obtained by THE WHISTLER with the reference number BSD/DIR/PUB/LAB/015/069.
‘Letter to All Deposit Money Banks (DMBS) and Other Financial Institutions (Payment Service Banks (PSBs), Primary Mortgage Banks (PMBs), and Microfinance Banks (MFBs): Naira Redesign Policy — Revised Cash Withdrawal Limits,’ reads the circular.
According to the apex bank, withdrawals above the limits incur a 5% processing fee for individuals and a 10% processing fee for corporate businesses.
The announcement comes just two weeks after the bank unveiled its newly redesigned N1,000, N500, and N200 notes on November 23, 2022.
The bank lamented in October that 85 percent of the money in circulation is not in bank vaults and is being hoarded by the public.