The Central Bank of Nigeria has issued a new directive to all banks, other financial institutions, and non-bank financial institutions, suspending the processing charges previously imposed on large cash deposits.
This change, referenced under the “Guide to Charges by Banks, Other Financial Institutions, and Non-Bank Financial Institutions” dated December 20, 2019 (FPR/DIR/GEN/CIR/07/042), affects deposits over N500,000 for individual accounts and N3,000,000 for corporate accounts. Previously, these deposits attracted processing fees of 2% and 3%, respectively.
Effective immediately, the CBN has put a hold on these charges.
This suspension is a significant shift in policy and will remain in effect until the end of April 2024. The move is seen as a response to the evolving financial landscape and the needs of depositors across Nigeria.
The directive mandates all financial institutions regulated by the CBN to comply by not imposing any charges on cash deposits that meet or exceed these thresholds. This development is expected to encourage more significant cash deposits, enhance liquidity, and possibly impact various sectors positively, including small and large businesses.
