The Central Bank of Nigeria (CBN) has warned Deposit Money Banks (DMBs) against cash hoarding and diversion, threatening fines of up to 10% of withdrawn amounts for violations.
In a circular dated November 13, 2024, the CBN outlined stricter measures to ensure fair cash distribution during the festive season, including intensified monitoring and mystery shopping exercises.
Repeat offences will attract additional penalties.
Banks are directed to prioritise ATM dispensing to address cash shortages and enhance public access.
The CBN also plans to collaborate with law enforcement to enforce compliance and penalise erring banks.
This comes amid public complaints about limited cash availability and the increasing reliance on Point-of-Sale operators to meet customer needs.
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