CBN Suspends Charges On Cash Deposits Above N500k Amidst Naira Scarcity

VOICE AIR MEDIA News Update

THE Central Bank of Nigeria (CBN) has suspended the processing fees on cash deposits above N500,000 until April 2024.

The apex bank made the announcement in a circular signed by Adetona Adedeji, its acting director of banking supervision, on Monday.

On September 18, 2019, the financial regulator effected a charge of 3 percent for processing fees for withdrawals and 2 percent for deposits of amounts above N500,000 for individual accounts to promote cashless transactions.

The CBN also directed banks to charge 5 percent processing fees for withdrawals and 3 percent for deposits of amounts above N3 million for corporate account holders.

Prior to 2019, in February 2017, the apex bank announced plans to re-introduce charges on cash transactions involving huge amounts across the country.

Suspending the policy in the latest development on Monday, the regulator asked all banks, financial institutions and non-bank financial institutions in the country to accept all cash deposits without charges with immediate effect.

“The Central Bank of Nigeria hereby suspends the charging of processing fees of 2% and 3% previously charged on all cash deposits above these thresholds with immediate effect. This suspension shall remain in effect until April 30, 2024,” the circular reads.

“Consequently, all financial institutions regulated by the CBN should accept all cash deposits from the public without any charges going forward.”