The Central Bank of Nigeria, (CBN), has sanctioned nine Deposit Money Banks (DMBs) with fines totalling ₦1.35bn for failing to ensure cash availability via Automated Teller Machines, (ATMs) during the festive season.
According to a press statement issued by the Acting Director of Corporate Communications of the Bank, Mrs. Hakama Sidi Ali, each of the banks was fined ₦150m following spot checks that revealed non-compliance with the apex bank’s cash distribution guidelines.
The affected 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, (UBA), and Sterling Bank Plc.
According to Mrs. Sidi Ali, the fines will be directly debited from the banks’ accounts with the CBN, while emphasising the regulator’s commitment to ensuring seamless cash availability.
She noted that CBN will not hesitate to impose further sanctions on any institution violating its cash circulation guidelines.
The CBN had previously warned banks to comply with cash distribution policies. The apex bank pledged to intensify monitoring of cash-hoarding and rationing at bank branches and Point-of-Sale (PoS) terminals.
The regulator was collaborating with security agencies to address illegal cash sales and ensure compliance with the daily withdrawal limit of ₦1.2m for PoS operators.
Recall that last September, the CBN announced plans to penalise banks failing to dispense cash via ATMs as part of efforts to ensure adequate cash circulation. In November, the bank urged customers to report ATM and branch cash withdrawal issues starting December 1, 2024, through designated state-specific phone numbers and email addresses.
The fines underline CBN’s determination to prioritise customer needs and ensure uninterrupted access to cash.
