The Central Bank of Nigeria (CBN) has sanctioned nine Deposit Money Banks (DMBs) for failing to ensure the availability of Naira notes through automated teller machines (ATMs) during the recent yuletide season.
Each bank was fined ₦150 million for non-compliance with CBN’s cash distribution guidelines, following spot checks on their branches. The affected banks include Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc.
The fines will be debited directly from the banks’ accounts with the apex bank, as confirmed by Hakama Sidi Ali, the Acting Director of Corporate Communications at the CBN. Ali emphasized the importance of maintaining seamless cash flow to sustain public trust and economic stability.
“Our investigations and monitoring will continue to address cash hoarding and rationing, both at bank branches and by Point-of-Sale (POS) operators,” Ali stated, adding that stricter measures would be enforced for further violations.
The CBN also reiterated its collaboration with security agencies to crack down on illegal cash sales and enforce the POS operators’ daily withdrawal limit of N1.2 million.
Governor Olayemi Cardoso, speaking at the 2024 Annual Bankers’ Dinner of the Chartered Institute of Bankers of Nigeria (CIBN), warned financial institutions to adhere strictly to cash distribution policies or face severe penalties. “Our focus remains on fostering trust, ensuring stability, and guaranteeing seamless cash circulation across the financial system,” he said.
The CBN affirmed its commitment to continued monitoring and warned that swift and decisive sanctions would follow any further violations of its cash circulation guidelines.
