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CBN announces upward review of cash withdrawal limit, it’s now N0.5 mln, N5 mln weekly

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By Oludare Mayowa

The Central Bank of Nigeria (CBN) on Wednesday revised upward its cash withdrawal limit, with the new maximum limit put at N500,000 per week for individuals and N5 million for corporate entities.

The regulatory bank in a circular issued and signed by its director of the banking supervision department, Haruna Mustafa said the revision was a result of feedback received from stakeholders.

In the circular titled, ‘RE: NAIRA REDESIGN POLICY – REVISED CASH WITHDRAWAL LIMITS,’ the regulatory bank retained all the parameters in its previous circular which allowed both corporate and individuals to withdraw cash above the stipulated figure under certain circumstances.

It, however, removed the cap on the maximum withdrawal under the compelling circumstance, unlike in the previous circular which placed a limit of N5 million and N10 million for individuals and corporate entities respectively.

This means individuals and corporate entities can now withdraw any amount as long as they can meet the stipulated conditions stated in the new circular.

However, the new circular is not clear about the limit on Automated Teller Machines (ATM and Points of Sales (PoS) withdrawal as stated in the previous circular.

It, however, appears that the limit on withdrawal from ATM and PoS still subsists because there was no clarification on the previous position on the new circular.

In the previous circular, the CBN stated that; “The maximum cash withdrawal per week via Automated Teller Machine shall be N100,000 subject to a maximum of N20,000 cash withdrawal per day.

“Only denominations of N200 and below shall be loaded into the ATMs.

“The maximum cash withdrawal via the Point-of-Sale terminal shall be N20,000 daily,” the CBN stated in its previous circular.

These conditions were clearly omitted in the new circular, which suggested that the CBN retain the previous limit.

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Details of the new circular are below:


“Following our circular BSD/DIR/PUB/LAB/015/069 dated December 6, 2022 on the above subject and based on feedback received from stakeholders, the Central Bank of Nigeria (CBN) hereby makes the following reviews:

1. The maximum weekly limit for cash withdrawal across all channels by individuals and corporate organizations shall be #500,000.00 and #5,000,000.00 respectively.

2. In compelling circumstances where cash withdrawal above the limits in (1) above is required for legitimate purposes, such requests shall be subject to a processing fee of 3 percent and 5 percent for individuals and corporate organizations, respectively.

  1. Further to (2) above, the financial institution shall obtain the following information from the customer, at the minimum, and upload same on the CBN portal created for the purpose:
  1. Approval in writing by the MD/CEO of the financial institution authorising the withdrawal.
  2. Valid means of identification of the payee (National ID, International Passport, or Driver’s License).
  3. Bank Verification Number (BVN) of the payee.

4. Tax Identification Number (TIN) of both the payee and the payer

  1. Approval in writing by the MD/CEO of the financial institution authorising the withdrawal.
  2. Third party cheques above N100,000 shall not be eligible for payment over the counter, while the extant limit of N10 million on clearing cheques still subsists.
  1. Kindly further note the following;
  2. a) Monthly returns on cash withdrawal transactions above the specified limits should be rendered to the Banking Supervision, Other Financial Institutions Supervision and Payments System Management Departments as applicable.
  3. b) Compliance with extant AML/CFT regulations relating to KYC, on-going customer due diligence, currency and suspicious transaction reporting etc. is mandatory in all circumstances.
  4. c) Customers should be encouraged to use alternative channels (internet banking, mobile banking apps, USSD, cards/POS, eNaira, etc.) to conduct their banking transactions.
  5. Bank and Mobile Money Agents are important participants in the financial system, enabling access to financial services in underserved and rural communities. They will continue to perform these strategic functions, in line with existing regulations governing their activities.

The CBN recognizes the vital role that cash plays in supporting underserved and rural communities and will ensure an inclusive approach as it implements the transition to a more cash-less society.

All banks and OFIS are to note that aiding and abetting the circumvention of this policy will attract severe sanctions.

The above directives supersede that of December 6, 2022 and take effect nationwide from January 9, 2023..

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