The Central Bank of Nigeria (CBN) has issued a stern warning to banks over the persistent cash scarcity at automated teller machines (ATMs), vowing to impose severe penalties on institutions that fail to address the issue.
CBN Governor Olayemi Cardoso made this declaration during the annual Bankers’ Dinner organized by the Chartered Institute of Bankers of Nigeria (CIBN) on Friday, November 29.
The ongoing cash crunch has triggered public outcry, with many Nigerians expressing their frustrations over empty ATMs and their reliance on point-of-sale (POS) operators for cash withdrawals. In response, the CBN had earlier directed banks to prioritize ATM disbursements and warned against enabling currency hawking.
“We recognize the ongoing challenges with cash availability at ATMs, which disproportionately affect ordinary Nigerians,” Cardoso said. “To address this, we are conducting spot checks across banks and will penalize underperforming institutions accordingly.”
As part of measures to tackle the issue, the CBN will empower customers starting December 1, 2024.
“Customers facing difficulties withdrawing cash from ATMs or bank branches can report directly to the CBN through designated phone numbers and email addresses specific to each state,” Cardoso announced. “Guidelines will be distributed to raise public awareness, and we will ensure full regulatory compliance by all stakeholders, including mobile money operators and POS agents.”
The governor emphasized that financial institutions engaging in malpractices or acts of sabotage would face stringent consequences. He reassured Nigerians that the CBN would maintain a robust cash supply, especially during high-demand periods like the festive season.
Cardoso also touched on foreign exchange (FX) issues, highlighting the country’s missed opportunity to generate ₦6.2 trillion in revenue due to a less flexible FX regime. “These funds could have supported critical investments in education, healthcare, and infrastructure,” he noted.
Looking ahead, the CBN governor reiterated the apex bank’s commitment to economic resilience through targeted reforms. Key priorities include enhancing domestic refining capacity, boosting non-oil exports, and advancing technological innovation in the financial sector.
The CBN’s renewed stance underscores its commitment to ensuring cash availability and enforcing accountability among financial institutions. As the festive season approaches, all eyes are on the banking sector to deliver improved services and ease cash accessibility for Nigerians.
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