The Central Bank of Nigeria’s policy restricting daily cash withdrawal is expected to start today, Monday, January 9.
Under this new policy, the maximum weekly withdrawal limit for individuals and corporations across all channels is now N500,000 and N5 million, respectively.
As a result,anyone or entity with a compelling need to withdraw above the allowed limits in order to conduct legitimate business will be charged a processing fee of 3% for individuals and 5% for corporate entities.
In addition, the financial institution must collect the following information from the consumer and upload it to the CBN’s portal for this purpose: Tax Identification Number (TIN) of both the payee and the payer Approval in writing from the institution’s president or chief executive officer authorizing the withdrawal.
Additionally, third party checks in excess of N100,000 shall not be available for payment over the counter, and the existing N10 million limit on clearing cheques shall remain in effect.
The new withdrawal limit was coming after the CBN began the distribution of its newly redesigned bank notes, which it said would help check inflation, counterfeiting and corruption.
The directive on the new cash withdrawal limits was contained in the CBN letter dated December 6, 2022, which was addressed to all Deposit Money Banks, and Other Financial Institutions, Payment Service Bank , Primary Mortgage Banks and Microfinance Banks
