The Central Bank of Nigeria (CBN) has imposed a cumulative fine of N1.35 billion on nine Deposit Money Banks for failing to provide adequate cash through Automated Teller Machines (ATMs) during the festive season.
Each bank has been fined N150 million for breaching the apex bank’s cash distribution guidelines.
The sanctioned 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 penalties will be deducted directly from the banks’ accounts with the CBN.
In a press release on Tuesday, the Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, reiterated the CBN’s zero-tolerance policy for disruptions in cash flow.
She stated, “The Central Bank of Nigeria has penalized Deposit Money Banks for failing to ensure the availability of Naira notes through automated teller machines during the yuletide season. Each bank was fined N150 million for non-compliance, following spot checks conducted at their branches. This enforcement action underscores the CBN’s commitment to ensuring seamless cash availability, especially during periods of high demand.”
Mrs. Sidi Ali further emphasized that the CBN will continue to enforce compliance with its cash circulation policies and will not hesitate to impose further sanctions on erring institutions.
To address the persistent issues of cash hoarding and rationing, the CBN has intensified its monitoring efforts in collaboration with security agencies. Additionally, it is working to curb illegal cash sales and ensure adherence to the N1.2 million daily withdrawal limit for Point-of-Sale operators.
In September 2024, the CBN had announced its intention to penalize banks that fail to dispense cash through ATMs. By November, it urged customers to report cash withdrawal challenges via designated channels.
The recent fines reinforce the CBN’s determination to prioritize the needs of bank customers and maintain an uninterrupted cash supply across the country.
For further inquiries or complaints, customers are advised to contact the CBN through its designated communication channels.
