CBN has directed banks to prioritise ATM cash distribution and tighten controls on mint note disbursement, warning of penalties for misuse to prevent Naira abuse.
As the festive season approaches, the Central Bank of Nigeria (CBN) has taken steps to ensure Nigerians have access to cash during the Christmas period.
To address the anticipated rise in demand, the CBN has directed deposit money banks (DMBs) to prioritise cash distribution through automated teller machines (ATMs).
In a circular signed by acting director of the Currency Operations Department, Solaja Mohammed Olayemi, the CBN highlighted the need for banks to implement strong internal controls to ensure responsible disbursement of cash, particularly mint banknotes.
Furthermore, to maintain order, the CBN, in collaboration with law enforcement agencies, will conduct spot checks and mystery shopping during the season.
These measures aim to monitor compliance, enforce proper cash distribution, and prevent Naira abuse.
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The CBN also issued a strict warning to banks regarding cash hawking.
Any DMB found to have facilitated the distribution of seized cash to unauthorised vendors will face penalties.
The authorities will impose a fine amounting to 10% of the total value of cash withdrawn from the CBN on the day of the infraction.
For subsequent offences, an incremental penalty of 5% will be added.
Through these actions, the CBN hopes to ensure a steady and accountable cash flow during the holidays, enabling Nigerians to carry out their transactions smoothly while upholding the integrity of the currency.
By focusing on ATMs and enforcing strict penalties, the CBN aims to balance accessibility with responsibility during this busy period.
